The new part of the hotel is sleek designer with beautiful decor in the lobby.
We only called in as we were on the way down from Monte and were caught in a monsoon type Madeiran rainstorm which can soak you to the skin in 30 seconds flat.
Was very impressed by the friendliness of the concierge who welcomed in two very wet walkers and seemed not to turn a hair at the puddles we caused on the polished floor.
If the hotel's service is as friendly as the welcome we got then I would say go there.
There was also a very impressive view over Funchal from its balcony.
Our only comment was that if you stayed there you would need to rely on taxis or have a car as the road in which the hotel was in was very very steep!