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Quito: Old city or new?

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Staying in Quito for 2 days before our Galapagos trip. Should we stay in old city or new? Our travel guides gave us either Mercure Alameda(new) or Patio Andaluz (old and a bit more expensive so want to be sure it's worth it.) Are all the better restaurants in the new city and walkable, or will we need to hop into taxis anyway? I usually prefer old city ambiance, but am concerned that it dies down very early there and we'll need to do dinners far away.

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