The Atholl Palace Hotel is located in parklands overlooking Pitlochry, Scotland, 500 metres from the Blair Atholl whisky distillery and one mile from the town centre. Pitlochry railway station is one mile away. Hotel Features. The hotel was opened as a spa in Victorian times and retains the traditional feel and splendour of a Scottish baronial stately home. The lobby features red and gold carpets and a log fireplace, while modern facilities include complimentary wireless Internet access in public areas.