In July 1419, Portuguese navigators discovered an island covered by a lush forest in the middle of the Atlantic Ocean. They named it Madeira, after the Portuguese word for wood. Prince Henry, the son of King João I, paid for the expedition. He acted like a venture capitalist, funding sea voyages in return for 20 percent of what his sailors discovered.

Madeira was formed five million years ago by a volcanic eruption. Only four percent of the island is visible. The rest lies beneath the sea. It is a place of rare beauty, with lofty mountains and cobalt-blue waters.

Where should you stay in Madeira? We usually pick Funchal, the capital, as our base. There are plenty of hotels to choose from. We often stay at the Pestana Casino Park, an architectural landmark designed in 1966 by Oscar Niemeyer, one of the greatest architects of the 20^th century. Niemeyer sought to preserve the island’s beauty and its picturesque, welcoming character. He succeeded, using the privileged location to create a sensuous building in harmony with the natural surroundings.  

What should you do in Madeira? Here are our top-10 favorite activities. 

1. Enjoy the beaches. We love the contrast of the black sand and the white sea foam. There is nothing like idling on the beach and bathing in the Atlantic ocean. Some favorite locations are Ponta de São Lourenço, Porto Moniz, and Garajau. 

2. Climb every mountain. Watching the sunset or sunrise in the mountains is an unforgettable experience. The breezes push the clouds up the mountains. Then, when the winds relent, the clouds descend like ethereal waterfalls. 

Pico do Areeiro, 1818 meters above the sea, is the highest peak that can be reached by car. It has several trails with awe-inspiring views. Cabo Girão, one of the first places sighted by the navigators, is an impressive lookout point.

Before driving or climbing up a peak or lookout point, it is prudent to check visibility conditions using the island’s webcam system.

3. Walk alongside a levada. In 1427, the Portuguese started building channels called levadas to bring water from the rainy north to the drier south, where most people live. A network of approximately 3,000 kilometers of levadas crisscrosses the island. Walking alongside these channels allows us to experience the magic of the Laurissilvia—the original forest that covered Madeira. There are so many walks that it takes a lifetime to explore them all. So far, our favorite is the Levada dos Balcões. The filmmaker Werner Herzog says that we know the world by walking. Madeira is the perfect place to put this credo into practice.

4. Visit a rum distillery. Henry the Navigator imported sugar cane from Sicily to plant in Madeira. At the time, sugar was so rare it was called white gold. Madeira became Europe’s leading sugar supplier until the first half of the 16^th century when Brazil replaced it. Today, the island’s sugar is mainly used to make sugar-cane rum.  

At Porto da Cruz, you can visit a rum factory powered by a steam engine that is a relic of the first industrial revolution. The rum is used to make a popular local drink called poncha. 

Scurvy, a disease caused by vitamin C deficiency, was a common seafaring affliction in the 15^th and 16^thcenturies. Sailors discovered they could protect against the disease by drinking a mixture of lemon, sugar-cane rum, and honey. They called this concoction poncha, an adaptation of the English word punch. In the mid-20th century, the drink became popular with locals who often recommend it as a remedy for various maladies. Beware that there’s no medical evidence of poncha’s curative powers. 

5. Visit Cámara de Lobos, a quaint fishing village where Whiston Churchill vacationed in 1950. He enjoyed spending time by the harbor painting watercolors of the seascape. Bar number 2, a gathering spot for fishermen, is famous for its poncha. The settlers found a colony of sea lions along the shoreline. They called these creatures “lobos marinhos” (marine wolves) and named the place after them. The sea lions have since migrated to the desert islands off the Madeira coastline.

5. Go to the Funchal farmers market. It is a feast of color, where tropical fruits vie for attention with exuberant spices. The island is so fertile that everything grows there, acquiring a unique taste imparted by the volcanic soil. We love the local bananas, which, just like Madeira wine, combine enticing sweetness with a pleasant acidity. At the fish stalls, you can see the riches of the sea—the black scabbard (called espada in Portuguese) that is a local favorite, the impressive tuna, and the colorful bodião. 

6. Explore the nuns’ valley and dine at Eira do Serrado. In 1566, French pirates laid siege to the island for 15 days, ransacking Funchal and killing many of its residents. The nuns of the Santa Clara Convent sought refuge in the heart of the island in a place now known as the nuns’ valley. They took with them their treasure, amassed over time from the donations of affluent families. The mother superior and the prioress buried the treasure in secret but they died without divulging its whereabouts. So, the treasure is still in the nuns’ valley, waiting to be found. 

You can drive from the valley to the mountaintop to dine at the Eira do Serrado hotel. It serves one of the best espetadas (succulent beef cubes artfully seasoned and grilled on laurel skewers) on the island. The restaurant’s veranda has breathtaking views of the encircling peaks and the nuns’ valley. Gazing upon this panorama, the poet Miguel Torga reflected, “Nietzsche said that you need wings to love the abyss. I’d posit that humans can adore the abyss as well, as long as they are born in Madeira.”

7. Visit Santana and Quinta do Furão. Santana is famous for its palheiros, houses painted in blue and red hues covered with straw-thatched roofs. Quinta do Furão is a hotel with generous views of the north of the island. Before dinner, you can visit the vineyards and see an old wine press like those described by the Roman historian Cato the Elder circa 160 BCE. It is wonderful to dine in the esplanade at Quinta do Furão, cooled by the breeze, our eyes feasting on the magnificent vistas.

8. Sail the ocean blue. Sailing on the waters surrounding Madeira helps us imagine the exhilaration felt by the Portuguese explorers when they first caught sight of the island. You might encounter playful dolphins or see a flock of cagarras—birds that like to slumber while gently drifting upon the water’s surface.

9. Ride a toboggan. Back in the 19th century, residents of Monte, a charming hilltop town overlooking Funchal, turned baskets used to carry vegetables into makeshift toboggans for exhilarating downhill rides. Today there are many “carreiros” who bring tourists down the hill, steering the toboggans with the help of shoes fit with robust rubber soles that function as brakes. There are often long lines, but the thrilling ride is worth the wait. 

10. Visit Blandy’s Lodge. Located in downtown Funchal, Blandy’s Lodge is the ideal place to learn about the wine that shares its name with the island. It is an elixir so alluring that it catalyzed global trade. Naval engineering, shipbuilding, logistics, and finance came together so that royals and aristocrats could enjoy Madeira wines all over the world.

Madeira wine is fortified—the yeast’s conversion of grape fructose into alcohol is interrupted by the addition of 96-proof vinic alcohol. The result is a wine that retains some sweetness. Following fortification, the wine is stored in hot attics for about three months. The natural warmth concentrates and caramelizes the wine, producing a delightful amber tint. Then, the wine is aged for at least five years. At Blandy’s, you can visit the attic where the wines are naturally exposed to heat, and the cellars where they age inside large American oak barrels. Then, embracing the advice of the ancient Greeks—”know thyself”—you can discover your favorite Madeira style: sercial (dry), verdelho (medium dry), bual (medium sweet), or malmsey (sweet).

Some final words: locals say that staying in Madeira for more than two weeks, makes it likely you will move to the island.