If you are a sucker for striking coastal architecture that flawlessly blends old-world heritage with cutting-edge sustainable design, you’ll want to feast your eyes on this.

Nestled on a rugged clifftop overlooking the historic whaling bay of Capelas on São Miguel Island in the Azores, The Blue House is an absolute masterclass in adaptive reuse.

The Portuguese architecture studio Atelier Backlar has pulled off something truly special here, resurrected from the literal ruins of a former 19th-century whaler’s tavern.

By wrapping a vibrant, eco-forward modern structure inside the raw, weathered shell of historic stone, the studio has created a brilliant design juxtaposition that feels entirely at home on the Atlantic coast.
History Meets Modern Eco-Innovation
The foundation of this stunning slice of architecture lies in its rugged past. The perimeter basalt stone walls of the original tavern had been sitting in a state of ruin since the 1980s.

Rather than tearing them down, Atelier Backlar collaborated with traditional basalt stone builders from a neighboring town to carefully preserve and restore the historic masonry.

Inside this protective stone cradle, the studio built a highly efficient modern home using prefabricated structural insulated panels (SIPs) crafted primarily from timber sourced directly on the island.

But the real showstopper of the exterior is the striking blue cladding that covers the facade, roof, and external deck. This vibrant skin is made entirely from recycled ocean plastic.

Sourcing and manufacturing this material at an architectural scale was an immense technical hurdle, as the local recycling facilities were typically geared up to produce small furniture pieces rather than full-scale building panels.

The result, however, is a durable, weather-resistant barrier that beautifully reflects the shifting hues of the surrounding ocean.
Light-Flooded Minimalism by the Sea
Step inside The Blue House, and the vibrant exterior gives way to an incredibly serene, pared-back interior palette. Because a neighboring property blocks the southern face of the home, the architects had to get creative with window placement, strategically pocketing openings to flood the home with natural light while framing killer views of the landscape and maintaining absolute privacy from the street.

The heart of the ground floor is a spacious, open-plan living and dining area designed around a low, wide window. Complete with an integrated timber seat underneath, it serves as the ultimate spot to sit back and watch the waves roll across Capelas Bay.

The flooring consists of a sleek concrete slab finished with microcement, which seamlessly extends upward to form a massive, built-in sofa facing directly out toward the sea.
A Nod to Maritime Heritage
Atelier Backlar was careful not to erase the spirit of the old tavern, opting instead to anchor the minimalist aesthetic with historical artifacts.

Mounted directly on the wall behind the microcement sofa is an antique harpoon, a striking piece of local history used to hunt whales in the bay over a century ago.

To keep the open-plan layout feeling as airy as possible, the kitchen counters are molded from the same clean microcement used on the floors. Connecting the two levels is a beautifully lightweight staircase.

Constructed from ultra-thin six-millimeter steel plates and warm timber treads, its open design allows the crisp morning sunlight to filter effortlessly through the entire lower level.

Upstairs, the home transitions into a private sanctuary housing three bedrooms. These minimalist spaces are finished with warm wooden floors, pale walls, and subtle splashes of blue that echo the ocean-plastic facade outside.

To complete the dialed-in look, most of the furniture throughout the home was custom-made by the studio in tandem with local craftspeople, ensuring the entire project remains firmly rooted in Azorean tradition.
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