The classic viewpoint over the twin lakes, on the southern rim of the crater about three kilometres from the village. On a clear day you see Lagoa Verde in the foreground and Lagoa Azul beyond, with the village of Sete Cidades on the far shore and the Atlantic visible past the western rim. Sunrise is the best light — the lakes catch the morning sun and the colour difference is at its most striking — but the viewpoint is also reliable in late afternoon when most tour buses have left.
Behind the lookout stands the derelict Monte Palace Hotel, a five-star resort that opened in 1989 and closed eighteen months later when the operator went bankrupt. It is officially off-limits but widely entered, and has become one of the most photographed abandoned buildings in Europe. From the hotel's upper floors the view is even better than from the official miradouro.