Expedia: Holidays, Hotels, Flights, Car HirePestana Bay and Pestana Gardens are located in the Formosa Beach, widely regarded as one of the most beautiful bays on the island of Madeira. With direct access to the sea, and just five km from the town of Funchal these two hotels offer a tranquil setting, protected by cliffs, and a spectacular setting against a steep hillside with views of the picturesque village of Cāmara de Lobos.