Morro de São Paulo is...absolutely beautiful! And fun, charming, easy-going and considerably safe (for brazilian standards - specially when compared to the capitals which are not safe at all).
Villa dos Graffitis is a 2 minutes walk from the beach down a pathway into the vila itself. The hotel is nestled in a peaceful green area, with a large pool in the middle, and on one side an open restaurant for breakfast and on the other side an open deck for reading or playing pool. The rooms are new, with silent ar conditioning, and modern furniture, and of course, graphitis on the walls. Each room has a different one, by a different artist - charming. The price is, or was - when I was there, much less expensive than the hotels smack on the beach. Sincerely, I still prefer this hotel over the other ones, which are older, and because of their location, noisier.More