Hotel Bambu is fantastic. Out of the many hostals and hotels in Canoa, Hotel Bambu is located the closest to the beach, with the best restaurant in town, on-site. The hotel has hammocks, ping-pong, a pool table, happy hour, a book exchange and library, mosquito nets for the room, and provide safe storage for any surf board. It is gated with a night guard, so you can enjoy Canoa's night life at ease. The owner, Joust is fantastic! Very kind and helpful. I found absolutely nothing left to be desired!
Also, in exchange for picking up litter down the beach, the Hotel offers you a free cocktail. My favorite business policy yet!
Canoa is a great, lively town. Several other reviews complain about noise. If you like to stay on the beach and are a light sleeper, problem solved. Bring ear plugs!