This is at Porto Da Cruz on the north side of the island.
As the series on the island is turning into somewhat of a saga here is some more background on Madeira.
Madeira is remote being nearly 500 miles west of the African coast and some 600 miles south of Lisbon on the Portuguese mainland. The island was uninhabited although known, apart from a brief residence by a marooned British sailor, until the 1400's when Henry the Navigator instigated its exploration. This was followed by colonisation and the burning of the teak forests there to open up the land. This piece of ecological vandalism resulted in such severe fires that the settlers were forced to retreat to their ships until they died down (the fires that is). Although it liberated great tracts of fertile land for cultivation it was a huge waste of a timber resource and destroyed much of the native flora and fauna. Only remote places such as the isolated rain forest at Rabacal remain as an indication of the former magical wilderness.