10 Best Hotels in Panajachel, The Highlands

Keep any disappointment in check until you arrive. You turn into a quiet cove northwest of Panajachel, and will spot an ugly high-rise building. That isn't this hotel. This Spanish-style inn consists of a main building flanked by two-story wings that surround a pool. The extensive grounds border on a long stretch of shoreline and the Reserva Natural Atitlán, a wooded reserve crossed by footpaths and hanging bridges. The rooms, each with tile floor, carved wooden furniture, and handwoven bedspreads, have balconies overlooking the gardens or the lake. Even if you don't stay here, stop by for views of the lake at sunset. The restaurant is reliable, if a bit overpriced. The hotel also offers weekly rates, which include all meals if you like.

This inn is a collection of little buildings about a block from the main street. Spacious, if sparsely furnished, rooms have sliding-glass doors that open onto the lovely garden. The rooms may seem a bit cool because of the tile floors, but they have fireplaces that warm you up in a snap. The grounds are surrounded by a wall, which makes the terraces by the pool a private place to sunbathe. The restaurant is one of the best in town, serving a wide selection of Guatemalan dishes. The agreeable chefs will sometimes even prepare dishes to order. You receive a 5% discount off the room rates if you pay in cash.

Set amid colorful gardens, this hotel gives you comfortable accommodations without the hefty price tag of more deluxe digs. The medium-size rooms are simply and tastefully furnished. Most open onto the pool area—these are set way back from the street, giving you no sense of being smack-dab in the center of town—where you can spend your afternoon on a lounge chair with a cocktail. The restaurant has a certain elegance, with tables set beneath a soaring thatch roof. The menu includes well-made pasta dishes and lots of wine.

At the end of Calle Santander, this excellent hotel—there's a branch by the same name in Antigua, and a stay at both branches in one trip gets you a 10-percent discount on the rates—has some of the best views of the lake. The rooms make use of handwoven fabrics from the local communities. Ask for one of the newer beachfront rooms with slightly more modern amenities and better views. Relax by the pool or in one of the hammocks hung along a breezy corridor. There's a small on-site museum that gives insight into the history of the Maya.

Friendly owners are a nice plus at this budget find with mostly second-floor rooms in the center of town. Of the hotels we recommend in Panajachel, this one is closest to the bar action on Calle Santander. The noise is really only a problem on weekends, but rooms 1, 8, and 9 do not face the street and make for quieter evenings. Their bay windows face a center courtyard occupied by the sedate restaurant downstairs. Those three rooms are larger than the others and have fireplaces, too. We like Room 9 in particular; it has its own interior balcony.

The well-manicured gardens of this small complex lead down past a shallow pool, bricked Mayan sauna, and Jacuzzi to a private beach. Although many of the condos lack good views of the lake, their barrel-roof brick ceilings and understated Moorish design more than make up for it. This is a great place for groups or families—each bungalow can sleep six, and has a separate living area, fully outfitted kitchen, and private terrace.

This three-floor lodging sits on a quiet street, just one-half block off Calle Santander. Rooms come with cabinet, bed, and table—not much else—but the place is a good, peaceful budget find.

At six stories high, Panajachel's biggest in-town hotel is a veritable skyscraper, and also has the most amenities. Although it lacks the character of smaller hotels, it's comfortable and convenient and has top-notch service. Rooms have balconies overlooking the public beach on Lago Atitlán. The huge restaurant next door, which looks out onto the pool, is for guests only.

The friendly owners here operate their own small tour company, and are likely to be your guide or driver if you use their services. The layout isn't complicated: four levels, three rooms, and a communal veranda on each level. Those at the top have great views of the lake. Rooms are bright, colorful, and simply furnished. Although it's on Calle Santander, the place is far enough removed from the string of bars and restaurants to feel quiet and secluded, but still within walking distance of the action.

A German immigrant by the name of Milly Schleisier opened this string of bungalows back in the 1940s. In so doing, she created what is still one of the most charming of Panajachel's accommodations, melding the designs of country houses in her homeland with the colorful culture of her adopted country. Each of the rooms is unique; the large bungalow, which can sleep up to five, has a fireplace. Breakfast is served family-style every morning.