The popular Casita Margarita (tel. 995-2898, www.pedasihotel.com , US$99 s/d, including buffet breakfast) is in a two-story yellow building on the south end of town, on the main road and the corner of Calle José A. Carrasquilla. It offers five clean, specious rooms with air-conditioning, flat-screen TVs, good beds, and Wi-Fi. Flowering vines sheleter a front terrace, and a second, glassed-in terrace is strung with hammocks for guests who’d like a snooze.
The inn is run by a family from Pennsylvania and has a friendly, relaxed atmosphere. The small restaurant is open to the public on Friday and Saturday nights, but private dinners can be arranged for guests staying at the inn on other nights. Tours are available, including boat trips to Isla Iguana  (US$25–40 pp, depending on group size) and a variety of fishing packages. Prices are significantly higher during major holidays but drop by about US$10 in the low season. There is a two-night minimum for weekend stays.
Posada Los Destiladeros (cell 6673-9262 or tel. 6676-5571, www.panamabambu.net , starts at US$75 s/d, including breakfast) is south of Pedasí  on a ridge just above Playa Destiladeros . It consists of 12 attractive bungalows in a garden compound with a swimming pool, sundecks, and comfortable common areas including a large dining room and a breakfast rancho.
Each bungalow is different, ranging from little cabañas to split-level A-frame affairs. Some have thatched roofs, and others resemble traditional adobe Azuero  houses with red-tile roofs. They’re fairly rustic but comfortable, with a “Swiss Family Robinson” bohemian vibe (e.g., four-poster beds made of bamboo or driftwood).
The whole place has a certain funky elegance about it. The cheapest bungalows, Sophie and Julie (US$75 s/d), are set back from the beach but still have a view of the ocean. My favorites, especially for a romantic getaway, are the small but cozy Virginia and Bouboulina (US$150 s/d), the red-tile-roofed cottages right above the beach. Each has a ceiling fan, air-conditioning, double beds, bathrooms, and a porch where one can sit and watch the sea. Breakfast is included with stays, and dinner is available for US$20.