In Capri town, its most beautiful residential street is Via Tragara, which leads up to the Faraglioni, giant rock sentinels jutting from the sea. That's where you'll find the hotel Villa Brunella, and its restaurant, Terrazza Brunella, an unbeatable combination of elegant decor, polished service and the warm welcome only a family-owned restaurant can offer.
Unique Quality: The staff is so nice. When we almost got stuck on the island due to a sudden rain storm, they took care of us, got us to the hydrofoil to Sorrento and offered to put us up for another night without a reservation. The staff at the pool gave us wonderful restaurant recommendations too.
One thing to note is that when we stayed here it was very reasonable ($120-$180 US/night). Now with the bad exchange rate, it is quite pricey.
Directions: Down the road past Le Sireneuse. Away from Capri Town.
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Address: Via Tragara 24, Capri, 80073, Italy