The no-frills Hostal los Canelos (Croacia 356, tel. 061/581223, US$11.50 pp) occupies a distinctive Magellanic house. Hotel Central (Philippi 295, tel. 061/580077, US$17/23 s/d with breakfast) is a step up.

No sign identifies homey Hospedaje Shinká (Santos Mardones 333, tel. 061/580491, US$13 pp), but it offers better facilities and amenities—immaculate midsize rooms with comfortable beds, private baths, and cable TV—for less money than any other place in town. The forgettable breakfast is a minor fault for a place this good.

All rooms now have private baths at upgraded Hotel España (Croacia 698, tel. 061/580160, US$15 s–US$22/29 s/d pp), whose utilitarian addition masks large new rooms; the cheapest rooms, in the older section, are smaller but still adequate. It also has a restaurant.

All rooms at Hotel Rosas (Philippi 269, tel. 02901/580088, US$25/33 s/d) have private baths and include breakfast; its restaurant is one of the better values in a town with, admittedly, only a few options.

Hostería Los Flamencos (Teniente Merino s/n, tel. 061/580049, www.hosterialosflamencos.com, US$22/35 s/d) has undergone a recent rehab, including much-needed interior and exterior paint, but kept prices reasonable.

In a restored Magellanic house with greater character than any other accommodations in town, Hostería Yendegaia (Croacia 702, tel. 061/581665, US$28/37 s/d) has spacious rooms in their original configuration, with high ceilings and contemporary comforts. It also has an appealing restaurant open to the public.

Other than hotel restaurants, the main dining options include the basic Puerto Montt (Croacia 1199, tel. 061/580207) and the Club Social Catef (Zavattaro 94, tel. 061/581399). El Chispa (Señoret 202, tel. 061/580054) is a picada with good home cooking at moderate prices.

At Bahía Chilote, La Picá de Pechuga (tel. 099/8886380) is a moderately priced picada that gets its fish fresh off the boat. The waterfront Club Social Croata (Señoret 542, tel. 061/580053) is more formal but has good fish and wine by the glass, though service can be erratic.