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The best hotel right on Taos plaza has roots that date back to 1820, when a hotel first appeared on this spot. The rooms, while not huge, have an undeniable historic elegance, with hand-tiled bathrooms and fireplaces in some. (Rooms 201 and 301 overlook the plaza itself.) If you want more space, opt for a larger suite, or spring for the luxury penthouse on the top floor (1 to 4 bedrooms that go for $500 to $1,400). The property is right in the middle of the action, Taos-wise at least, so expect some noise from the plaza, although a policy of no kids under 8 helps keep the interior ruckus to a minimum. Famous guests over the years have included Judy Garland, Tennessee Williams, and most infamously, British author D. H. Lawrence. His presence lingers on in the "D. H. Lawrence Forbidden Art Museum," where you can see nine of his oil paintings. They were risqué enough to be confiscated by police in 1929, but they're pretty tame by modern standards.