We stayed at this hotel during October 2013, the location is perfect if you enjoy walking, which we do! The main part of Funchal is about 20 minutes away and there is a nice ice cream parlour opposite Reid's which makes the journey back more pleasant, the Lido area is 10 minutes away with a number of shops selling drink etc much cheaper than the hotel, so make use of the fridge in the room! There is a nice coastal walk from the Lido to the old fishing town, which we didn't think much of, but there is a nice beach bar about half way which is well worth a stop.
As we went in October the flowers were not at their best but still worth the trip on the cable car to the tropical gardens and the toboggan ride is amazing and a must do !!
My only complaints about the hotel are the small balcony we had, the bathroom could have been planned better with a shower cubicle and a re-fresh of the decor, but the plus points are the roof terrace giving fantastic views and the honesty bar which was very useful.
The staff on the whole are great the chambermaid kept the room spotless and bar staff very good, some of the dinning room staff could do with a "charm lesson" though.
Would recommend this hotel to anyone wanting a relaxing holiday with a bit of exercise thrown in for free, and would also say the Tai Chi class is a great way to start the day