Hotel Castillo de Santa Catalina
Straight out of the Arabian Nights (but with exceptional views), this luxury hotel sits on the site of the watchtower built to defend Malaga in 1624 and 3 centuries later converted into a Neo-Arabic castle residence. Each of the 8 rooms is richly decorated around a different theme, but expect marble, original colourful tiled floors and antiques as standard. The grounds and patios are a delight.
Treat yourself to room 7 or 8 with lovely views of Malaga below. The hotel serves no meals other than breakfast (€10, not included in price) so for dinner you need to go into Malaga, an €8 taxi ride away.