We just returned from a long weekend at El Palacete. We wanted to love this hotel, but we would not recommend it to anyone.
It is a five star disappointed with a wacky and inflexible owner who runs the hotel as if she were doing her guests a favor allowing them to stay. The food is a let down (average pre-prepared food that is warmed up in the microwave), there is no restaurant or food service beyond scheduled breakfasts and dinners by appointment only (not even a sandwich or an apple, bring your own food if you want anything off hours) the service is inexperienced and the owner is off her rocker, scolding guests with threatening notes for leaving their suitcases on the floor vs. using the closet. (the last point is so ridiculous and bizarre that we actually got more of a laugh out of it than getting angry but I think you get the point).
The owner is the problem. She's a confused lady that wants to own a hotel but thinks it's her house and treats her guests like children visiting under her terms.
She should have opened a museum. The building is beautiful. The Art Deco renovation is really special, the themed suites are unique, the massage services in the hotel are convenient and the in-room jacuzzi's are a treat. But she's missed a really important "detail," the hotel should be about the guests, not about her and her artistic vision. You can't have a hotel where valuable, antique ceramic figures cover every table and dresser top in the guest rooms and them scold your guests for moving them aside to a safe place to make room for our personal things. You can't threaten your guests with nasty notes and throw their personal belongings back into their suitcases because you are offended that your precious ceramic dragon was moved aside harmlessly to make room for your ipod. (yes, it's like a nightmare version of your mother, going through your things and yelling at you for leaving your socks on the floor.)
So if you really love Art Deco and are swooned by the funky decor, go prepared. Plan to eat out (there are a lot of good restaurants within 20 min in car), don't smoke (hotel in 100% non-smoking but they don't tell you that until you are there), don't touch anything (you will quickly feel like an elephant in a china shop and will pay if anything breaks), do whatever Marta tells you and exactly when she tells you (she'll plan activities, meals and massages for you which is not all bad, as long as you agree with her vision) and try to laugh at how ridiculous it all is.
But the best advice I can give is choose another hotel. There are a lot of more traditional small hotels in the area that are authentic and know how to treat guests.
This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC