I will be back for your help in putting the finishing touches on the trip, but for now I just have to share my excitement.
After reading reviews for about a dozen hotels, and getting some good feedback from the posters on this forum, I chose the Hotel Villa Convento! I splurged and booked a Queen Balcony room. At a rate of $135 per night this seems like a really good deal to me and I am sure we will enjoy our time there.
Thanks for past and future help!