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The Monte Palace Hotel on São Miguel Island opened in 1989.
Perched up 500 or so meters above sea level, the hotel offered panoramic views of Lagoa das Sete Cidades. It had 88 rooms, two restaurants, a bar/nightclub, and a total construction area of approximately 13,104 m². Notably, it was the first luxury five-star hotel in the Azores. And in 1990 it was even awarded "Hotel of the Year" in Portugal.
Then, the place closed — just 18 months after its opening.
Today, it looks like this:
Supposedly the hotel failed for a number reasons. It was hard to get to. It lacked on-site amenities. It didn't, for example, have a pool. And the unpredictable (and often foggy) weather of the Azores made it so that a lot of the time you couldn't even see the main attraction, which was the view. The sponsors may have also overshot the market at the time.
In 2017, the abandoned property was finally listed for sale at €1.5 million. Level Constellation ended up buying it for an undisclosed amount at the end of the year. They are a Lisbon-based developer founded by Chinese entrepreneurs. The plan was/is to reopen another 5-star hotel, but that hasn't happened yet. Though there's certainly no lack of visitors to the property today!
I don't know how you address the weather thing, but nowadays there are many other 5-star hotels on the archipelago. Regardless, my bet is that the existing structure will end up being demolished. I mean, it's been abandoned and unmaintained for about 35 years.
Brandon Donnelly
Wow! I’m reminded of an ambitious timber and stone hotel that was partially built close to the Sooke Potholes. The stone fireplace was so big you could spit roast a Toyota Camry. Only the stone and timber framing had been completed. When I photographed this site extensively in the mid-1990s, the site had already been abandoned several years. Like your example, I imagine that the moist environment eventually took its toll, causing the structure to collapse. The Sooke building was a thing of haunting beauty; one’s imagination filled in the missing materials and finishes. I half imagined Jack Nicholson appearing from behind a wood column, announcing “Wendy; I’m home!”.