At the edge of the lush volcanic crater that holds the twin lakes of Sete Cidades, cloaked in mist and silence, stands a structure that feels lifted from a dream, or a horror film. The Monte Palace Hotel is a hulking, modernist ruin, perched just above one of the most photographed views in the Azores. Once imagined as a luxury retreat, the hotel now sits empty, overtaken by moss, fog, graffiti, and time.
What’s left is a space in transformation: no longer what it was, not yet something new. Its concrete corridors, gaping windows, and silent rooms are now a gallery of improvised murals and peeling walls, a place of textures and shadows. And in this stillness, something unexpected happens: the Monte Palace has become one of the most strangely beautiful places on the island to explore.
We visited with with friends of ours from our digital nomad coliving space, Lava Coliving, and we all really enjoyed the thrill of entering each room not knowing what marvel we might find on the walls or out the window.
A brief and speculative history of Monte Palace Hotel
Construction on the Monte Palace began in the late 1980s with the ambition of creating a five-star destination in the Azores. The location was strategic on the rim of the crater with panoramic views of both the green and blue lakes, and a dramatic horizon that shifts with the island’s mercurial weather. At 88 rooms spread across multiple levels, the hotel was to offer fine dining, conference facilities, and access to one of the most breathtaking landscapes in the Atlantic.
But despite its location and grandeur, the hotel opened for only a very short time. There are rumors of financial issues, low occupancy, and logistical challenges. Some say it operated for less than two years before closing its doors. Since then, ownership has changed hands several times, with discussions about redevelopment, but nothing has ever come to fruition.
In the decades since, the building has become a shell with windows shattered, stairwells worn, and furniture long gone. Yet what remains is deeply atmospheric. The angular lines of the building, the overhanging balconies, the enormous open-air atriums, all give it a cinematic weight. You walk through it not as you would a ruin, but as though you are moving through a film set.
The view from nowhere: Sete Cidades lakes from Monte Palace Hotel
Step into one of the top-floor rooms and the first thing you’ll notice is the silence. Then the wind. Then the view.
Every room on the western face looks out across the lakes of Sete Cidades. On a clear day, you’ll see the sweep of farmland, the winding road that leads down to the village, and the glinting surfaces of the twin lakes, one green, one blue, divided by a narrow bridge.
It’s a view that makes you pause, and from the elevated frame of the abandoned hotel, it feels both grand and strangely private. The windows are gone, but the concrete frames remain, slicing the view into quiet vignettes. If you walk into one of the end suites, the framing of the lake is almost perfect, as if it were built to be a gallery rather than a guest room.
The walls are crumbling, the ceiling is streaked with moisture, and ferns have begun to grow through cracks in the tiles.
Mossy corridors, broken wood, and graffiti-scrawled atriums turn the Monte Palace into a ruinous maze
And yet, standing there, it's hard not to feel that something remarkable is still happening inside the Monte Palace.
Murals and graffiti in The Monte Palace Hotel
What sets this abandoned hotel apart is not just the setting or the structure, but the art that now lives inside it.
Across dozens of former rooms, stairwells, and balconies, artists have left traces, some small, some elaborate. In one room, a grayscale portrait of a woman’s face emerges from layers of yellow and green, her eyes filled with a kind of searching.
In another, a spray-painted figure seems to stare directly at the lake, as if watching it change.
There’s a wall covered in looping calligraphy, intricate and unreadable, a kind of visual rhythm.
Another corner features floral realism, delicate pink and white petals painted on raw concrete, tagged only by the name Hortense Barre.
Scattered throughout the building, simpler tags and layered graffiti shift the mood from elegiac to anarchic.
A sampling of mural textures inside Monte Palace, from abstract geometry to hand-drawn silhouettes
Some murals feel intimate, others feel confrontational. Many are left unsigned. It’s a gallery with no curation, no entry fee, and no schedule.
Figures from a haunted fresco, stylized, spectral, and caught in mid-thought
One of the most compelling aspects is the uncertainty. You climb a stairwell with broken steps, turn down a hallway with cracked tiles, and peek into rooms to see what remains. Sometimes, there’s just dust and silence. Other times, there’s a face staring back from the wall. You never know which rooms hold something, and which don’t.
Stenciled portraits on scorched walls, faces full of heat, longing, and unfinished dialogue
That thrill of not-knowing becomes part of the experience.
Architecture as atmosphere
The Monte Palace is not beautiful in a conventional way. Its concrete form is rigid and brutalist, with sharp lines, deep overhangs, and recessed balconies. But in this context, surrounded by hydrangeas, pine trees, volcanic slopes, and an ever-changing sky, it feels strangely poetic.
Nature has not yet overtaken it, but it’s present. Ivy climbs the stairwells. Moss grows on handrails. The wood of doors has swollen and splintered. In places, the scent of moisture and vegetation is heavy.
The building is tiered, cascading down the hill in wide, stepped floors. At the base is a long, colonnaded corridor where graffiti clusters most densely. Some of the pillars are covered in bright, saturated shapes, and others in soft, washed-out portraits. There's a sense of architectural rhythm, almost like a repeating refrain of emptiness and gesture.
Looking up from the forest below, the hotel almost blends into the hillside.
Brutalist wings and overgrown tiers; the Monte Palace emerges like a ruin in slow motion
It’s a structure out of time, a relic from the past that now feels like it belongs to an entirely different world.
Safety, solitude, and the draw of decay
It’s worth noting that the Monte Palace is not a managed ruin. There are no safety rails. No staff. No warnings. The stairs are uneven, and the floors, in places, are warped and damp. Anyone exploring the building should do so carefully and with full awareness.
But despite its hazards, the hotel draws a steady stream of curious visitors. Some come for the view. Others for the murals. Many come simply to experience the atmosphere of the place, a feeling of stillness and strangeness that’s difficult to find elsewhere.
On a misty morning, with clouds moving quickly across the lakes below, the building can feel like a kind of observatory. On a bright afternoon, with sun pouring through the broken windows, it becomes a canvas of shadows and reflections.
And in the quiet, you hear small things: the creak of wood, the echo of footsteps, the rustle of eucalyptus leaves outside.
Should the Monte Palace Hotel be saved?
There’s been occasional discussion about restoring the Monte Palace. Turning it back into a hotel. Or transforming it into something else entirely.
But to do so would be a massive undertaking, not just structurally, but conceptually. The building as it stands now is many things at once: failed project, public artwork, architectural artifact, and informal lookout. To intervene would mean to change all of that.
Some might say it’s too dangerous to leave open. Others argue it has become a kind of cultural landmark, one that belongs to the island’s unofficial history, not its tourism economy.
What’s certain is that it evokes something powerful: a sense of mystery, a layered beauty, and a mood that lingers.
Tips for exploring Monte Palace Hotel
The Monte Palace is located just beside the main lookout over the lakes of Sete Cidades. There’s a parking lot near the viewpoint, and the building is easily accessed on foot. It’s unmarked, but impossible to miss.
Visitors should use caution. Watch for unstable surfaces, sharp edges, and slick floors, especially after rain. A flashlight can be helpful for darker hallways. And shoes with good grip are a must.
But if you’re drawn to atmospheric spaces, improvised art, and quiet surprises, the Monte Palace offers something singular. It’s full of stories.
Take it slow. There’s more to see here than first appears.
How to get to the abandoned Monte Palace Hotel
The Monte Palace Hotel is located above the Sete Cidades crater on São Miguel, near the Vista do Rei viewpoint (which also happens to the starting point of this amazing hike with lake and ocean views). The easiest way to get there is by car, as public transport on the island does not reach this area reliably.
From Ponta Delgada, the drive takes around 25–30 minutes. You follow the EN1-1A road west toward Sete Cidades, then turn off toward Vista do Rei. The hotel is just a short walk from the viewpoint and is clearly visible from the parking area.
If you’re visiting São Miguel as a digital nomad or traveler, renting a car is strongly recommended not just for Monte Palace, but for exploring the island more broadly. We recommend DiscoverCars to compare rental options, which makes it easy to find local providers at competitive prices.
Having a car gives you full access to places like Sete Cidades, Furnas, and the island’s more remote coastal areas.
Exploring Monte Palace Hotel is one of the most unique things to do as a digital nomad in the Azores.
Frequently asked questions about the abandoned Monte Palace Hotel in the Azores
What happened to the Monte Palace Hotel in the Azores?
The Monte Palace Hotel opened in 1989 as a five-star hotel overlooking Sete Cidades on São Miguel. It closed after roughly 18 months due to low occupancy and high operating costs. Since then, the building has remained abandoned and is now one of the most well-known deserted sites in the Azores. Its history is documented in sources like Futurismo Azores Adventures.
Why was the Monte Palace Hotel abandoned?
The hotel failed because tourism in the Azores was still limited at the time, making it difficult to attract enough guests. Its remote location and high maintenance costs added to the problem, and the business was not financially sustainable, leading to its closure in the early 1990s.
Who owns the Monte Palace Hotel today?
The building is owned by a Portuguese financial institution that took control of the property after the hotel’s closure. Although there have been occasional redevelopment discussions, no major restoration has taken place, and the structure remains unused.
When was Monte Palace Hotel built?
Monte Palace Hotel was constructed in the late 1980s and officially opened in 1989. It was designed as a luxury five-star hotel intended to attract international visitors to São Miguel in the Azores.
How long was Monte Palace Hotel open?
Monte Palace Hotel operated for only about 18 months before closing. Despite its scale and location, it was unable to maintain enough business to continue operating long term.
Can you visit the Monte Palace Hotel in São Miguel?
Yes, the Monte Palace Hotel can be visited and is commonly explored as an abandoned site. It is located near the Vista do Rei viewpoint above Sete Cidades. As the building is not maintained, visitors should be cautious due to structural hazards.
Where is the Monte Palace Hotel located?
Monte Palace Hotel is located on São Miguel Island in the Azores, above the Sete Cidades crater lakes. It sits near the Vista do Rei viewpoint, one of the island’s most visited scenic spots.
Why is Monte Palace Hotel so popular?
The hotel is popular because of its location overlooking Sete Cidades and its abandoned condition. Over time, its interiors have been covered in graffiti, making it a well-known destination for photography and urban exploration in the Azores.
What are the murals inside Monte Palace Hotel?
The interior walls of Monte Palace Hotel are covered in graffiti and murals created by visitors over the years. These artworks vary widely in style and have become a defining feature of the building’s appearance today.
Is Monte Palace Hotel dangerous to visit?
Yes, the building can be dangerous due to its abandoned state. There are broken windows, exposed edges, and unstable surfaces. Visitors should take care when exploring and avoid unsafe areas.
