First inhabited in 1652, Pueblo Nuevo is one of the few northern towns that was not affected much by the Contra war. There are about 3,000 folks in town and another 19,000 living off the land in the surrounding countryside. Pueblo Nuevo honors San Rafael Arcángel during the week leading up to October 24.
Doña Selina will rent you a room in her house, feed you, and should be able to help you find a local guide to go hiking in the surrounding hills or to view some of the organic agriculture by the river. One nice hike is to the community of Pencal, across the river and about 1.5 hours each way. You can also stay in the farmhouse/hospedaje Finca La Virgen.
While in Pueblo Nuevo, take a look at the infrequently visited Museo Arqueológico (next to the phone office, tel. 505/2719-2512, open 8 a.m.–noon and 2–5 p.m. Mon.–Fri.) in the Casa de Cultura, exhibiting pottery, old farm implements, and archaeological pieces found in the area.
Twelve kilometers west of town on the road to Limay [1], you’ll find El Bosque, an archaeological dig site where the bones of several mastodons, glyptodons (predecessors to modern armadillos), and early ancestors of the horse species have been uncovered. At 18,000–32,000 years old, the bones are considered one of the oldest archaeological sites in the Americas. Closer to the surface, remnants of Paleolithic weapons were discovered on an upper stratum of soil.
Buses leave Estelí [2] twice a day at 11:45 a.m. and 3:10 p.m., leaving Pueblo Nuevo at 6:30 a.m. and 8:30 a.m.; ask in the park about transportation that continues farther west into the country.
Links:
[1] http://www.moon.com/destinations/nicaragua/esteli/near-esteli/san-juan-de-limay
[2] http://www.moon.com/destinations/nicaragua/esteli/city-esteli