A tight budget no longer means having to bed down in a stifling room on a backstreet. San Pedro's only waterfront hostel is easily its best. The bright private rooms have big sliding doors leading onto a balcony with Caribbean vistas, while the air-conditioned dorms are well designed with privacy curtains and individual power sockets for each bed.
Guests can hang out on loungers by the water and use the wooden dock. Downstairs, there is a happening sand-floored bar that serves great pizza.