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Inkaterra La Casona

Cusco's first luxury boutique hotel is located in what is probably Cusco's first Spanish construction. The colonial courtyard is surrounded by 11 sumptuous suites furnished with antiques and all mod cons imaginable. Brilliantly located for the arty San Blas district and Plaza de Armas, Inkaterra La Casona is a quiet oasis of serenity with an eco conscience.

Palacio del Inka

Just moments from the Plaza de Armas, the Palacio del Inka combines utmost luxury with an Incan and Spanish twist. Expect framed dark ochre (a nod to Andean spirits), gold and burgundy furnishings that reflect the conquistador influence and original artworks. There are 203 wonderfully fitted rooms to choose from and all boast handcrafted furniture, huge beds and historical décor, along with fast internet, LED TVs and big bathtubs. The Inti Raymi Restaurant downstairs plates up remarkable Peruvian fine dining and there is a tranquil spa onsite as well.

Hotel Monasterio

Located two blocks from the Plaza de Armas, this is the best hotel in Cusco. A sensitive conversion of the 16th-century Seminary of San Antonio Abad, this former monastery has retained its original infrastructure and colonial décor but is now a 5-star international hotel boasting a gilded chapel, superb fine dining and oxygen-enriched air in every room. The therapy suite is also ideal for those returning from a long Machu Picchu trek.

Hostal Suecia II

This friendly, budget Cusco hotel option is set in a colonial-style building located two blocks from the Plaza de Armas. Its 16 rooms are set around an attractive interior courtyard and are basic but spacious, clean and comfortable. A safe, sociable, economical option, this hostel has a family atmosphere and is particularly popular with backpackers, especially as Wi-Fi is now available. Ask for a room away from the street. No breakfast.

Hostal Rumi Punku

Built on an old Inca temple and recognisable by the giant stonework around its entrance, this elegant, older colonial house has a rooftop terrace and gardens in addition to well-equipped, stylish rooms. Three blocks from the main plaza, the Rumi Punku enjoys superb panoramic views over San Blas. There is a decent breakfast buffet too, which is served from 0500 for those up to tackle the Inca Trail.

Hotel Costa del Sol Picoaga

Formerly the colonial home of the17th-century Spanish noble, the Marqués de Picoaga, this top-end hotel in Cusco close to the heart of the city makes the most of its handsome colonnaded courtyard, beautiful stone columns and elegant archways. Service is excellent and the hotel has its own bar and high-quality restaurant.