Fodor's Expert Review The Albatroz Hotel

On a rocky outcrop above the crashing waves, this gorgeous hotel was once the summer residence of the dukes of Loulé. Although expanded and modernized, its character has been retained, particularly in the handsome corridors and cozy terrace bar. Guest rooms combine an old-world elegance (carefully chosen vintage prints) with comfort (incredible beds). There's a small pool surrounded by loungers, and direct access to a small beach below. The acclaimed Albatroz restaurant serves superb fish dishes. A terrace bar-restaurant with gorgeous bay views serves more informal meals.