Puerto de la Cruz gets a €100 million makeover: Tenerife’s oldest resort enters a new era
Puerto de la Cruz, Tenerife’s original tourist resort, is undergoing the biggest hotel renovation boom in its history, with nearly €100 million invested in modernising a dozen hotels and bringing new life to the city.
Once known as the birthplace of tourism in the Canary Islands, Puerto de la Cruz had been waiting years for a facelift. That finally began in 2017, when the Canary Islands Government approved the Modernisation and Improvement Plan (PMM), which allowed private investors to start a major transformation of hotels and tourist facilities across the city.
From faded glory to five-star revival
Many hotels have been completely rebuilt or upgraded in category, and some long-abandoned buildings have reopened after decades of neglect. The results have been dramatic as the town has gone from having just one five-star hotel to three.
Alongside the famous Hotel Botánico, the Gran Hotel Taoro has just reopened after a 20-year closure, and next month the Radisson Resort & Residences Tenerife (formerly Hotel Parque San Antonio) will join them following a full modernisation.
The Tigaiga Suites opened in 2017 after transforming the old Florasol apartments, while the Atlantic Mirage Suites & Spa replaced the Bellavista complex after a €10 million investment. Other hotels have switched to adults-only concepts or been completely rebranded, like the Taoro Garden Hotel, which reopened in 2017 after being closed since the financial crisis.
Recent openings and makeovers
The trend has continued with Atlantic Hills (formerly Hotel Miramar), which received an €8 million upgrade, and Hotel El Tope, which is being refurbished with new family attractions including a small water park.
The Silken Saaj Mar Hotel, a boutique adults-only property opposite the San Telmo promenade, reopened earlier this year after a €3.5 million renovation. The Fergus Puerto de la Cruz, formerly the Smy Hotel, followed soon after with a similar four-star upgrade.
Big international brands have also joined the city’s renewal. Meliá Costa Atlantis was renovated and rebranded under Meliá Hotels & Resorts this year, marking a fresh start for one of Puerto’s most recognisable seafront hotels. Meanwhile, the Hotel Botánico, one of the most prestigious hotels in the Canaries, closed for three months to complete an extensive modernisation, proof of its ongoing commitment to excellence.
The return of a legend: Gran Hotel Taoro
The biggest project of all is the reopening of the Gran Hotel Taoro, which has long been seen as the jewel of Puerto de la Cruz. The building, owned by the Tenerife Cabildo, reopened after a €35 million renovation. The Taoro’s guest list over the years has included King Alfonso XIII, Kaiser Wilhelm II, the Duke of Kent, and even Agatha Christie, who famously stayed there in the 1920s.
Private investors lead the way
Local tourism groups such as the Centro de Iniciativas Turísticas (CIT) and Ashotel have praised the “extraordinary effort” made by the private sector to raise Puerto’s profile as a top-quality destination.
However, they say that public investment hasn’t kept pace. “These hotel improvements need to be matched with better public spaces, updated shops, and restaurant areas,” said the heads of both organisations, Juan José Hernández and Enrique Talg.
They also highlighted several long-delayed local projects, including the Parque San Francisco cultural centre, the Botanical Garden expansion, the future of the Iders building, and the old bus station, which are still awaiting action.
Town Hall takes action
Mayor Leopoldo Afonso agrees that the city needs “smarter public investment” to support the private revival. Since taking office 15 months ago, he says the council has moved ahead with projects such as the purchase of the old Chimisay cinema, new underground car parks in Plaza de la Constitución, Plaza de Europa, and Punta Brava, and plans to demolish the old bus station next year.
He also confirmed that the local council is working with the Canary Islands Government to speed up approval of a second Modernisation and Improvement Plan, which will allow more hotels to apply for upgrades. “The outlook is very positive,” Afonso said. “They’ve promised to do everything possible to keep up the city’s progress.”
Tourism on the rise
Between January and September 2025, Puerto de la Cruz welcomed over 711,000 visitors, a 3% increase on last year, around 20,500 more tourists, representing 17.5% of all visitors to Tenerife during that period, according to data from Turismo de Tenerife and the Canary Islands Statistics Institute (ISTAC).
With rising visitor numbers, record levels of investment, and renewed energy from the hotel industry, Puerto de la Cruz is once again shining as one of Tenerife’s most charming and forward-looking destinations, a place that honours its history while reinventing itself for the future.
Share:
