With an exterior epitomising Bodrum's white-and-sky-blue aesthetic, the relaxing 'Water Hotel' has 25 rooms and suites, most with balconies giving on to a courtyard pool, a restaurant open to the skies and a bar. The colour scheme within (think blue and red and yellow) and artwork decorating the premises is just this side of kitsch but it works.
The suites have kitchenettes and hamam-style bathrooms. Can't find the place? Follow the blue tiles set in the pavement leading from Turgutreis Caddesi.