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Hotel Tres Torres
It's building itself a reputation for decent restaurants also, and you can catch ferries, buses, or the tourist train from here to other places of interest such as Ibiza Town, Formentera Island, the hippy market, and so on.
The seasonal Hotel Tres Torres is on the northern side of town overlooking the marina, so it's a little distant from the beach, but very convenient for restaurants and bars. Previous travellers praise the hotel for its location, cleanliness, and friendly staff.