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The Better Trip

Destinations

Best central hotels in Madeira

Barceló Funchal Oldtown, 2 minutes from the Sé on the level streets by the sea, with the market 9 minutes and the cable car 10. Hotel Madeira, 6 minutes from the Sé by the Jardim Municipal, at much the same height, so only the walk back from the seafront climbs, about 20 metres.

2 of our ten · Hand-pickedHotels cannot pay to be hereLast checked: October 2026

9.4/10

4,200+ Expedia guest reviews of the 8 hotels we list

Average of the guest scores Expedia publishes, weighted by review count; read 30 October 2026.

At a glance

  1. Barceló Funchal Oldtown: The rooftop pool beside the Sé's bell tower

    Barceló Funchal Oldtown

    The Sé 2 minutes away, the market 9, the cable car 10, all level

    Funchal · From about €225 a night

  2. Hotel Madeira: The rooftop pool, with Funchal's hills behind

    Hotel Madeira

    By the Jardim Municipal, 6 minutes from the Sé at much the same height

    Funchal · From about €150 a night

What we looked for

Funchal climbs from its bay like an amphitheatre, and that decides where walking is easy. Along the front and in the old centre round the Sé the streets are level; behind them they climb steeply, and the hotels on the hills above the city are a taxi ride for every dinner. Stay at the bottom of the amphitheatre and the city is yours on foot: from the Sé, the Mercado dos Lavradores is 9 minutes and the cable car up to Monte 10, so the one big climb is done for you.

Both our central hotels are here. The Hotel Zone and the Lido are walkable too, but the Sé is 23 to 33 minutes from those hotels, gently downhill, with a climb back. Without a car, arrive on the Aerobus, €6.70 on board, which stops close to both. Choose Barceló for the old town and the sea at the door; choose Hotel Madeira for the garden, the price and a rooftop bar.

Barceló Funchal Oldtown: The rooftop pool beside the Sé's bell towerThe insider one

1 / 2

Barceló Funchal Oldtown

Funchal, Madeira

No hotel of our ten is closer to the middle of Funchal. Its street, Rua da Alfândega, runs one block in from the sea, and the walks that matter stay on the flat behind the waterfront rather than climbing the hill: the Sé 2 minutes, the marina 5, the Mercado dos Lavradores 9, and the Monte cable car station and the painted doors of Rua de Santa Maria, in the old town, 10. The pebble Praia do Almirante Reis is 9 minutes east and the Barreirinha lido 15.

Ákua, Loja do Chá, the 1811 Bistro at Blandy's Wine Lodge and Rei da Poncha are all within 4 minutes, and the Aerobus from the airport stops on Avenida do Mar, about 180 metres from the door. There is no hotel car park, which suits a stay without a car: leave the hire for the days you go to Cabo Girão or the peaks.

Junior Suite at Barceló Funchal Oldtown: two single beds made up together, a grey sofa bed under the windows and a desk with a coffee machine on the right

The room to book

Junior Suite

about 28 m²€271 a night

About 28 m², with a sofa bed, against 22 for the entry Deluxe: the room to come back to between long days out on foot.

Every room, and why

Ask for a higher floor when you book, and let the cable car to Monte take you up the hill rather than climbing it.

€€From about €225 a night

Hotel Madeira: The rooftop pool, with Funchal's hills behindThe smart money

2 / 2

Hotel Madeira

Funchal, Madeira

Hotel Madeira sits on Rua Ivens beside the Jardim Municipal, 2 minutes away, at much the same height as the Sé, so most walks are level. The one climb is the walk back from the seafront, about 20 metres. From the door the Sé is 6 minutes, the marina promenade and the Parque de Santa Catarina 8, the Mercado dos Lavradores 14, and the cable car station and the town beach at Almirante Reis 15.

Eating out is on the doorstep: Restaurante dos Combatentes is 2 minutes away, the 1811 Bistro at Blandy's Wine Lodge, The Ritz Madeira and Café do Teatro 3, and Ákua 5. The Aerobus stops at Plaza Madeira, about 3 minutes' walk away. Parking is €11 a day in the car park in front, with limited spaces, but in the centre you will not need a car for the city itself.

Junior Suite at Hotel Madeira: two single beds made up side by side under a padded headboard, with a glass door out to a balcony

The room to book

Junior Suite

about 27 m²€182 a night

27 m² with a separate bedroom, a sitting room and two balconies, so a walking week has room to spread out after the day's miles.

Every room, and why

Book a sunset table at the Panorama Terrace Bar on the roof, where the Sé's bell tower rises above the garden's trees.

€€From about €150 a night

How to choose

Your tripBook
You want the old town and the sea on the doorstepBarceló Funchal Oldtown
You want the old town and cable car closestBarceló Funchal Oldtown
You want a central base at a lower priceHotel Madeira
You will hire a car for some daysHotel Madeira

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Questions people ask

Good questions about Madeira

Is Funchal walkable, or too hilly?

The centre is walkable; the hills are not, for most visitors. Along the seafront and in the old centre round the Sé the streets are level, and from the Sé the market is 9 minutes on foot and the cable car station 10. Behind the centre the streets climb steeply. Barceló Funchal Oldtown sits on the level streets by the sea, and Hotel Madeira at much the same height as the Sé, about 20 metres above the seafront. Casa Velha do Palheiro, up the hill at São Gonçalo, is 71 minutes down on foot and 115 back up.

How far is the Monte cable car from central Funchal hotels?

The lower station of the cable car to Monte is in the Zona Velha, 10 minutes on foot from the Sé. From Barceló Funchal Oldtown it is 10 minutes along level streets, and from Hotel Madeira 15. The cable car is the easy way up the amphitheatre: it saves you the steep climb to Monte, so walk the old town and let the cable car do the hill.

Can you stay in Madeira without a car?

Yes, in central Funchal. The Aerobus runs from the airport to Avenida do Mar in 24 minutes, €6.70 on board, stopping about 180 metres from Barceló Funchal Oldtown, and at Plaza Madeira, about 3 minutes' walk from Hotel Madeira. The Regional Tourist ticket, €13.75 a day, covers every operator's buses and the Aerobus. City lines 001 and 002 run out to the Hotel Zone. For Pico do Arieiro, Rabaçal and Porto Moniz, a hire car is far easier, so hire one only for those days.

How long is the walk from the Lido to the old town?

From the Lido bathing complex the Sé is 41 minutes on foot, and from the Hotel Zone's resorts 23 to 33 minutes, gently downhill on the way in, with a climb back along Estrada Monumental, a busy road for most of its length. City buses 001 and 002 cover it, and by road off-peak it is 10 minutes. If you want to walk to dinner every night, stay in the centre: from Barceló Funchal Oldtown the Sé is 2 minutes, from Hotel Madeira 6.

Where can you park at a central Funchal hotel?

Hotel Madeira has reserved spaces in the underground car park in front of the hotel at €11 a day, limited, so book one with the room. Barceló Funchal Oldtown has no car park of its own; it arranges paid spaces, subject to availability, in the Almirante Reis car park, 650 metres away. In the centre a car is not needed for the city itself, so many guests hire one only for the days they drive out to the peaks or the west.

How did you choose these hotels?

Independently, through extensive research, trusted sources and first-hand visits. Hotels cannot pay to be included, and every one of the ten has to exist for a different reason.

More ways to choose in Madeira

Prices are a guide from our last check, not live rates.