The Palace hotel of Buçaco is a luxury hotel located in the highlands of the Serra do Buçaco national forest reserve, which is located in the North of Portugal. The area around the Buçaco Palace formerly belonged to the monastery of the barefoot Carmelites, founded in 1628. The monks not only built the monastery, but also has created a luxurious garden where grew all kinds of plants and trees.

In the late 17th century on the territory of the chapel were built. Part of the monastery, including a chapel with an altarpiece in Baroque style, covered gallery and a few monastic cells, have survived to our time and are near the hotel. At the entrance to the ancient monastery there is a memorial plaque dedicated to the battle of Buçaco, which serves as a reminder that Viscount Wellington, who later became Duke of Wellington, spent the night in the monastery after the battle on 27 September 1810.

The Carmelites left Buçaco in the mid-19th century, as a religious order in Portugal was eliminated. Later it was planned to turn the old convent into a Royal residence for Queen Maria Pia, wife of king Louisa, but because of the political situation, it was decided to turn the Palace into a hotel.

Presumably the Palace hotel was built between 1888 and 1907. The first architect was the Italian Luigi Manini, who designed the Palace in the neo-Manueline. The inner rooms are decorated with magnificent portals in the same style. The walls are decorated with famous Portuguese tiles "Azulejos" under the leadership of Jorge Colazo and display various historical events such as the battle of Buçaco.