New York transplant Sandra Scandiber continues to improve her little miracle—a small, inexpensive hotel on a quiet street in raucous, pricey Cabo San Lucas. A sense of serenity settles over guests, many of whom are frequent returnees, the minute they enter the enclosed courtyard with its gurgling fountain and simple two-story white buildings draped with fuchsia bougainvillea. The 12 rooms all have different attributes and enthusiasts. Those facing the courtyard are best if you're eager to join Scandiber and her guests for erudite conversations and abundant travel suggestions. Rooms by the small plunge pool are quieter, and those on the second floor are closer to the rooftop terraza with its comfy couches and backdrop of Baja's classic boulders and cactus. A full kitchen and cobalt blue tiled sunken bath make the second-story master suite the most desirable unit, but the rest are comfy, as well,and simply furnished with hand-carved armoires, tiled showers, and one queen or two full-sized beds. The nearby taco stands and small restaurants are among Cabo's most enjoyable, and the beach is within a 10-minute walk. Scandiber has also added a landscaped back garden that serves as a mini-park for guests and often glows with candles and tiny lights during parties and weddings.