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Crete in September - where to stay?

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We are looking at booking 1 week in Crete, early September. Could anyone advise which town to stay in?

We would like to be close to a beach, and somewhere where we can walk out at night for a meal/drink. We would prefer somewhere with lots of traditional Greek restaurants, rather than really touristy. But at the same time we don't mind there being a few people around (we are 27)

Thanks :-)

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