This hotel is in San Felipe, not Rio Lagartos as some TA pages state. It is also NOWHERE near any of the local attractions listed by TA - most of which seem to be in Monterey, Nuevo Leon.
The hotel is a family run affair and they work hard to make you happy during your stay. The restaurant is open for breakfast and dinner and they will also open for lunch on request. The food is quite acceptable, but not a highlight of the stay.
They offer a variety of rates depending on the position of the room. First, don't stay in the newer annex as it looks a little featureless and forgotten. Secondly, pay the little extra for a sea view. You'll get a great breeze and no direct sun. Some rooms have a small balcony, too.
The level of cleanliness is impressive, but be prepared for quirky layout and decoration - e.g. a bathroom mirror that requires you to stoop down to look in it. One of our beds was also not that great.
So, overall it's a bit of a curate's egg. At $620 it was cheaper and better than some hotels we saw in nearby Rio Lagartos.
