Inside a converted 18th-century mill, this eccentric country hotel overhangs a babbling stream 1km south of Poligny. The 'Happy Valley' is a labyrinth of stairs and timber beams, surrounded by gardens that brim with flowers and fruit trees. The whitewashed rooms are tasteful and trim, and the best have garden-view balconies.
The on-site Asian fusion restaurant (evenings only, mains €17 to €22) doesn't compete with Poligny's other dining options but it's good value and the multilingual service is friendly and efficient.