Hotel Otavalo.

Occupying a restored 1930s Spanish colonial landmark, Hotel Otavalo offers a polished, urban alternative to the rustic lodges typically found in the Andean highlands. The architecture is the primary draw; Art Hotels Ecuador preserved the historic shell, leaving exposed brick and original stonework to frame modern interiors. The 26 rooms feature hand-carved headboards, local textiles, and marble bathrooms, with upper-tier suites adding private balconies and Jacuzzis. Its location is strategically ideal for beating the crowds to the Plaza de Ponchos handicraft market, situated just a short walk away. Between excursions to nearby crater lakes, guests can retreat to the rooftop bar for unobstructed views of the surrounding volcanoes or dine on ancestral-inspired cuisine in the ground-floor restaurant. It is the most sophisticated base for experiencing Otavalo’s indigenous craft traditions from within the city center.