Hi Michelle, I just responded to your post on Maui. We just stayed at the Hyatt and loved it. We liked the location in Poipu, the pools were amazing, and the rooms were nice. The Princeville is more elegant, the rooms more impressive, the views over the cliffs incredible and the surroundings more subdued in general. We decided that thought the Princeville is classier the fact that it rained the 2 days we were there was to much of a bummer. It is on the rainy part of the island. We just got back from 2 weeks in Maui and Kauai so if you have questions please email me.
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I recommend the Hyatt for the spa (aaahhh, worth every penny) and Princeville's luau. Both hotels are very glamorous. I have only stayed in the Princeville area - relative's home and beggars can't be choosers! Kauai is small enough that no matter where you stay you can visit and enjoy all parts of the island.
Depending on how long you are planning to stay in Kauai, you may want to consider splitting your time. We just got back from our honeymoon in July at the Princeville, which was absolutely heavenly. However, we ended up driving an hour and a half each way for several activities (helicopter ride, boat trip up the Na Pali coast, etc.) and to try several great restaurants. We decided that if we were to do it over, we would split the time if we had at least a week. That way we could thoroughly enjoy the Princeville area without all the driving!
I agree with splitting the time for sure. We did when we stayed on the island. You will find that most travel agents tell you to stay at Poipu(Hyatt) and they know relatively little about the north shore other than it rains. Yes, it rains there mostly between the end of October and April. You are going when the north shore beaches are more swimmable, calmer than the south shore beaches and during the north shore's drier season. You will probably not be able to use the beach at Poipu...it was really rough even in July. As my husband said, as we rounded the bend to the north shore(Hanalei) and saw the cliffs complete with rainbow(a tiny sprinkle), "Why is is that we didn't stay here longer??"