A nice, 14-room hotel located a stone's throw from the port at Hyères (the only downside is that the best beaches are on the islands just off the coast, but they are easy enough to reach by a bus-ferry connection). The hotel is a quick bus ride or taxi ride (15 euro one way) from the Gare SNCF in Hyères; walking takes at least an hour.
The hotel staff were super nice, and the room was comfortable and excellent for coming back from the beach; sand is easily cleaned up from the tiled floors and the bathroom. The bathroom was spacious, but the only ventilation were two decorative flower-shaped holes in the wall between the bathroom and the room, and the bathroom steamed up quickly.
There are a few bookshelves with books to read on the beach, and a bar downstairs with nice outdoor seating. Breakfast is 5 euro; we didn't have it, but it looked delicious as we passed by in the morning.
Restaurants are on the port; there are plenty of them from which to choose. La Baleine was good; more upscale, but still affordable with a 23.30 euro prix-fixe menu that was amply filling.
The best beach isn't at the port or in Hyères, but across the water on the island of Porquerolles. Rent bicycles and explore; it was fun, though the pathways are rocky and might not be suitable for less-bicycling-inclined folks. The beaches are easily walkable, it just takes a bit more time than biking. The scenery is gorgeous and the smell is refreshingly natural. The ferry is the way to reach Porquerolles; it was 17.30 euro round trip and was a smooth ride both ways.
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