Can anyone recommend a really cool and interesting place to visit for one night that is within a two hour drive from Berlin. I'm looking for something charming and small town if possible. Any recommendations would be greatly appreciated.

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Brandenburg. Once the court of the electors, but they moved to Berlin, and not much stirred thereafter
Stralsund. Delightful old port, well restored, with interesting museums
Greifswald. Small walled town.

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For a definite change of pace from big city Berlin and a really "cool" area, please consider the Spreewald area about a hour south east of the city. It is a forested area criss-crossed by numerous canals and an enclave of Slavic people call "Sorbs". Some people still speak Sorb and at times dress in native costume. It is a popular area for day-trippers and week-enders from Berlin who enjoy canoeing or boating on the many canals. There are many quaint small towns in the area - the most popular being Lubben and Lubenau. An enjoyable and relaxing diversion. Enjoy your stay in Berlin!