Hotel Palácio: James Bond gives it five stars.

I’ve had the pleasure of staying in castles in Lausanne Switzerland, Airbnbs with baths overlooking secluded bushland, and hotel rooms with gold leaf cigar cases. However, I must say, Hotel Palácio boasts the most remarkable provenance and history I’ve ever experienced. 

To their credit, they share the story exceptionally well, earning the ‘cap social’ on their receipt, valued at 73,078,500.00 Euros, which represents the Corporate Capital associated with Hotel Palácio. It’s a requirement in Portugal for all companies/corporations to state their Corporate Capital on bills/invoices/receipts. 

Hotel Palácio boasts two very famous guests: Duško Popov (the real life inspiration for the James Bond character) and Ian Fleming. However, this hotel didn’t just accommodate them during one of their casual vacations. It played a central role in the British intelligence operation Midas. Duško Popov intercepted German requests for intelligence, feeding them back prepared British disinformation. The Germans, believing Popov to be a valuable asset, funded his playboy lifestyle. Everywhere he went, he maintained relationships with local women and fellow spies. 

Popov devised Operation Midas to exploit the Germans’ trust in him. He planned to use their money to build a spy ring in London, delivering the funds directly to MI6. One night in 1941, Popov entered a casino near Hotel Palácio in Portugal with 38,000 Escudo. Accompanying him was Ian Fleming, an intelligence officer tasked with ensuring Popov didn’t squander the money, such as betting it all on a single hand of baccarat. 

As detailed in the podcast “The Spy Who Inspired 007,  Popov stayed at Hotel Palácio the day before meeting the Germans to provide disinformation about a British invasion at Calie. It was at this hotel that British Intelligence administered truth serum and conducted a mock interrogation before Popov’s crucial mission. What truly sets the experience apart are the hotel hallways adorned with framed sign-in sheets for Popov (noteworthy for his various nationalities listed on different visits) and Ian Fleming.

I spent two evenings sipping Vino Verde before dinner at Hotel Palácio. One night, a room filled with sophisticated Koreans in evening wear enjoying a three-course dinner, while another night, a large table of Eastern European men joyfully sampled wine, as did Americans from Washington discussing different Bourbons. A truly international establishment. Having provenance and history is one thing, but sharing that history so that every visitor to the hotel understands they’re somewhere extraordinary is another, and Hotel Palácio excels at that.