Agreed that Ponta Delgada is terrible now. If it's not core it's not worth it. Same with the Azores. I suppose the Azores give you an easy sugar, but it also doesn't contribute towards the India trade UHV, so it just isn't worth it. Something needs to motivate Portugal to settle these two subpar places, but at the same time they were never large cities or major resource producers, which is how this game makes cities valuable. They both probably need a sea resource plus something else to warrant settlement. Maybe that something else is core, maybe it's a lot of Indian trade UHV tiles, maybe it's a sugar resource. It just plain feels bad to settle bad cities.
Way back, they were desirable settles because you could get them going before you unlocked carracks, so they helped you get to carracks faster. Now, you'd be crazy to settle either of these cities before you enter the renaissance because it'd take you hundreds of years to get the free renaissance buildings built in these hammer deserts. So, the question to me is how to incentivize founding these two colonies BEFORE the renaissance. The simplest way is to add more resources so they are a net benefit to your empire, but you create the problem of having major cities on these islands the rest of the game where there have never been major cities.
What if the Portuguese UP revolved around free buildings with founded colonies/settled settlers? From the beginning of the game new colonies get granary, aqueduct, harbor(if applicable), forge, library, lighthouse, and market. I think that's the Industrial era settlement package. It's a very temporary bonus as this is the starting package for everyone else after not too long. It incentivizes settling the crappy historic islands because with those starting buildings they are an asset. It allows settling in production deserts, which is necessary for many of Portugal's historic colonies, especially the islands the Indian trade UHV forces upon the player. It removes the warped strategy where you unlock carracks and move your settlers into position to settle but wait until you get the next tech to unlock the founding bonuses.
I also don't like the way Morocco works right now. Historically Portugal's first colony was Ceutia, which is completely impossible in 100% of 600 AD games because of Marrakesh so close, meanwhile Marrakesh isn't on historic territory. I would suggest that the Marrakesh tile be included in historic territory allowing a Ceutia type move early in the game.
Inspecting the French settler map you can keep them away from Brazil by settling two cities (Fortaleza and Sao Paulo). Meanwhile settling Santa Maria in the south blocks Montevideo from the Spanish (if they ever get to settling) and gets you two tobacco from the get go. The only other settling threat in Brazil is the Netherlands who don't spawn until you're nearly done.
Losing Mogadishu and Adan as historic territory is rough because both cities would be solid for the Indian trade UHV. It feels bad to settle bad cities and I hate having to settle these single tile islands that do nothing all game.