Hotel Fiordaliso in Sirmione

This was one of the worst experiences I have had in my life.
We booked the hotel, all payed for, and started our journey to go to the hotel straight after work. The train that was taking us to Milan broke, and by the time we arrived in Milan, there were no more connections to Sirmione. We let the hotel know: We had to find a hotel in Milano to spend the night, and the next day we would head to Sirmione. The next day we woke up, went to see Milan's church since we were already there, and went to the station to get tickets to continue our journey to Sirmione.
To our surprise, when we get in Sirmione station, I get a notification from Booking.com saying the hotel had cancelled our stay.
We head there anyways, since we had nowhere else to go. When we arrived the man at the front desk simply told us it was cancelled and that we should talk to Booking.com.
We tried to talk to him that everything was already payed for, and that there were still rooms available in the website for the time of our stay, if he could find us a room.
The guy started screaming at us, expelling us from the property, threatening to get physical, saying it was cancelled, to take it to Booking.com.
We tried talking to Booking.com, and they told us he was ignoring their calls.
The hotel had a non refundable policy, which when we read we understood that if WE cancelled our stay, there would be no refund, which we were fine with. But if THE HOTEL cancels your stay, they also get to keep your money.
Booking.com was not helpful over the phone either.
And that's how we lost around 450 euros to a hotel we never stayed.