We are just back from Santa Monica and stayed at the Ambrose. It's not close to the beach, but there is a free shuttle and even better free parking. Rooms are nice and breakfast was great. We paid about $225 (including tax) per night.

you might also check out the great private homes and apartments available on TA & Flipkey, for both a better taste of true California living and a much better value than a hotel. for example, check out:

tripadvisor.com/VacationRentalReview-g33052-…

Thanks for all your recommendations

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