Matala Hotels in Heraklion, Greece

On Crete's remote south coast, Matala was 'discovered' in the late-1960s when roving hippies (including Cat Stevens) began living in the caves carved into the red rocky cliffs above the cove. Today it attracts more mainstream visitors, but the caves remain. The cove houses a lovely golden sand beach, probably the best-known on the south coast. It makes a good base for visiting the archaeological sites of Phaestos and Gortys.