Price From $90
One look at the nine-room Craft, opened in July 2008, and you can tell that it's not your average design hotel. For starters, the exterior is red—from the wrought-iron front gate to the top of the façade. Inside, however, it's the subtler touches that earn guests' affection—say, a vinyl library and a record player in the Song room, and free bike rentals for tooling around the surrounding galleries, clothing shops, and bars in Palermo Soho. The best rooms are those with balconies facing leafy Armenia Square, but the rooftop patio with shaded daybeds and a small reflecting pool upgrades the views for all guests. Calle Nicaragua 4583, crafthotel.com, from $90.