Why Blue Palace Resort & Spa Is Actually Two Different Hotels Now

Why Blue Palace Resort & Spa Is Actually Two Different Hotels Now

So, you’re looking at Elounda. You’ve seen the photos of that iconic brick-red architecture spilling down the Cretan hillside toward the Spinalonga islet. It’s breathtaking. But if you’re trying to book Blue Palace Resort & Spa right now, things are honestly a little confusing.

The place has changed.

If you haven’t kept up with the Greek hospitality news over the last year, you might show up expecting the same massive Marriott-affiliated Luxury Collection resort you saw on Instagram in 2022. It isn’t that anymore. The Phāea family—specifically Agapi and Costantza Sbokou—decided to split the soul of the property. Now, the most exclusive, historic heart of the resort has been rebranded as Phāea Blue Palace, while the rest of the sprawling complex has transitioned into the Rosewood Blue Palace, set to fully debut in 2025. It’s a massive shift.

It's Cretan luxury, but not as a monolith.

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The Spinalonga View and Why It Matters

Most people go for the view. I’m not exaggerating. When you stand on the terrace of the Arsenali lounge, you’re looking directly at the Venetian fortress of Spinalonga. It’s a UNESCO-worthy sight that feels like it’s within arm’s reach.

This isn't just a backdrop; it’s the reason the resort exists in this specific spot. The architecture, designed by Alexandros Tombazis, was meant to mimic the local fortifications. You see it in the high ceilings and the massive, cavernous archways. It feels heavy and permanent, which is a weirdly grounding feeling when you’re on a vacation.

But here is the thing: the "Spa" part of Blue Palace Resort & Spa is where the legacy really sits. The Elounda Spa is 2,000 square meters of thalassotherapy. We’re talking about actual seawater pumped in and heated to different temperatures. If you’ve never done a thalasso circuit, it’s basically like being a very relaxed tea bag in the Mediterranean. It’s supposed to remineralize your skin, and while I’m skeptical of a lot of wellness claims, you cannot deny the physical relaxation of floating in that much salt.

The Phāea vs. Rosewood Split

Let’s get into the weeds because this affects your booking.

The original resort was huge. Too huge, maybe. By splitting it, the Sbokou sisters are trying to reclaim that "boutique" feeling for the most historic suites. Phāea Blue Palace now operates as a 47-room boutique hotel. It’s smaller. It’s more intimate. It’s where you go if you want to feel like a guest in a private villa rather than a number in a 250-room powerhouse.

Meanwhile, Rosewood is taking over the larger portion of the estate. Rosewood is a heavy hitter. They handle properties like the Hôtel de Crillon in Paris. By bringing them in, the property is basically leveling up its service standards to a global ultra-luxury tier. Expect more "Sense of Place" programming—which is Rosewood's whole vibe—meaning more local olive oil tastings, more connection to the fishing village of Plaka, and probably much higher room rates.

What Actually Happens at the Blue Palace Spa?

Let's talk about the water.

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The spa isn't just a room with some massage tables. It’s a destination. They use Cinq Mondes and Valmont products, which is fine, but the real star is the Greek-inspired treatments. They do this thing with Cretan honey and herbs. It’s sticky. It’s intense. But your skin feels like silk afterward.

One thing people often overlook is the indoor pool. Most people want to be outside in their private infinity pool—and yes, almost every room has one—but the indoor spa pool is a masterpiece of light and shadow. It’s quiet. If the Meltemi winds are blowing hard (which happens in Crete during the summer), the indoor spa is your sanctuary.

  • The Thalassotherapy pool uses real Aegean water.
  • There are two traditional Hammams.
  • The gym actually has a view, which is rare because most hotel gyms are stuck in a basement.

The Plaka Connection

You can't talk about Blue Palace Resort & Spa without talking about Plaka. It’s the tiny fishing village just a short walk away. Honestly, while the hotel food at the Blue Door (their signature taverna) is great, you have to walk into the village.

The Blue Door is housed in a former salt store. It has the blue and white checkered tablecloths. It feels authentic, even if it’s "resort authentic." They do a "Cretan Feast" with live music and dancing. Is it a bit touristy? Maybe. Is the lamb antikristo style (cooked across from the fire) delicious? Absolutely.

But Plaka is where the locals are. Or at least, where the locals work. You can take a traditional kaiki boat from the resort’s private jetty over to Spinalonga. Do not skip this. The history of the island as a former leper colony is haunting. Victoria Hislop wrote a famous book about it called The Island. Read it before you go. It changes the way you look at the view from your balcony.

Deep Nuance: The Layout Issues

I’m going to be real with you. This resort is built on a cliff.

If you have mobility issues, this is something to consider. They have a funicular—a little cable car—that takes you from the top levels down to the beach. It’s cool. It feels like a James Bond villain’s lair. But it can be slow. During peak season, waiting for the funicular to get to breakfast can be a tiny bit annoying.

Most guests don’t mind because the walk down the stone paths is beautiful, lined with jasmine and bougainvillea. But it’s a workout. Your calves will feel it by day three.

Why the "Spa" Part is Essential

Crete is a big island. You can spend hours driving to Balos or Elafonisi. But if you’re staying at the Blue Palace, you’re likely there to stay put. The spa acts as the anchor for the whole "slow life" philosophy the Phāea brand pushes.

They talk about philoxenia—the Greek word for hospitality to strangers. It sounds like a marketing buzzword. But here, it’s reflected in the staff. Many of them have been there for twenty years. They remember guests. They know which corner of the beach gets the best shade in the afternoon.

The Food Scene Beyond the Buffet

Buffets are usually where luxury goes to die.

At Blue Palace, the breakfast at Olea is different. They have a "Cretan Corner." Skip the croissants. Go for the dakos—rusks soaked in olive oil and topped with tomato and mizithra cheese. Eat the thyme honey. The honey in Crete is different because the bees feed on wild herbs. It’s medicinal, basically.

If you want something fancy, Anthós is the fine-dining spot. They have an organic garden on-site. You can literally see the herbs they’re about to garnish your fish with. This isn't just for show; the soil in this part of Crete is incredibly rich.

Common Misconceptions

  1. "It's in Elounda, so the water is calm." Usually, yes. The Gulf of Elounda is protected by the Kalydon peninsula. But the "Blue Palace" faces the open sea toward Spinalonga. It can get wavy. It’s not a glass-flat pond every day.
  2. "It's a kid-free zone." Nope. It’s very family-friendly, though it doesn't feel like a circus. The kids' club is tucked away.
  3. "The beach is sandy." This is the big one. The beach is pebbly. Large, smooth, grey pebbles. The water is crystal clear because of it, but you’ll want those goofy water shoes if you have sensitive feet. The resort provides a wooden walkway and jetties to jump off of, so you don't have to hobble into the waves.

Making the Most of Your Stay

If you’re planning a trip to Blue Palace Resort & Spa, you need to be strategic about your room choice. The "Superior Bungalows" are the entry-level. They’re great. But the "Island Luxury Suites" are the ones you see in the magazines. They have more space and usually better privacy for the pools.

Don't spend all your time at the resort. I know, it’s expensive and you want to "get your money's worth." But rent a car for one day. Drive up into the mountains behind the hotel to the village of Kritsa. It’s famous for its weaving and its olive oil. The contrast between the hyper-luxury of the spa and the rugged, stone-cold reality of a Cretan mountain village is what makes the trip feel complete.

Actionable Next Steps

  • Check the Brand: Before booking, verify if you are looking at the "Phāea Blue Palace" (boutique, open now) or the "Rosewood Blue Palace" (coming soon). The experience will be vastly different.
  • Book the Thalasso Early: The thalassotherapy circuits fill up, especially on the rare days it rains or gets too windy. Book your slot at the spa the moment you check in.
  • Request a High Floor: If you want the "uninterrupted" Spinalonga view, ask for a room on the upper tiers of the resort. The lower rooms are closer to the beach but might have their views partially filtered by gardens or the funicular tracks.
  • Pack for Pebbles: Bring decent water shoes. The Aegean is stunning here, but the stones aren't forgiving.
  • Timing is Everything: Go in late September or early October. The water is at its warmest, the crowds are gone, and the heat isn't punishing. Plus, the spa feels even better when there’s a slight chill in the evening air.

The evolution of the Blue Palace is a reflection of where luxury travel is going. It's moving away from the "massive resort" feel and toward something more curated. Whether you choose the boutique intimacy of the current Phāea setup or wait for the Rosewood transformation, the constant is that view. That brick-red wall, the blue of the Aegean, and the silent history of Spinalonga across the water. It’s a combination that hasn’t been matched anywhere else in Greece.