This was a great place, run by a friendly Honduran couple. The place is on the main drag along the beach–our room was approximately a 15-second dash to the sea, and we could watch the sun going down into the Caribbean from the hammock slung across our veranda. Bliss.
It’s about as far along West End and Half Moon Bay (so-called for a good, beautiful reason) as you can get, right next to Woody’s supermarket (handy for picnic lunches on the beach if you’re not too hungry). Attached to it and apparently run by the same couple is the "Argentinian Grill," a pretty good but relatively (i.e. by comparison to what you’d pay on the mainland for the same fare) pricey place at $20 a head for dinner–more if you have lobster, surf’n’turf, and crab.
The hotel is nicely furnished with colourful local tapestries and bedspreads; a decent bathroom, and a good shower; nice towels, which are changed every day without complaint if you’ve taken them onto the beach/out diving with you; two double beds with a well-powered fan over each.
We paid $20 per night. There was no breakfast but that meant we could sample various different places, including the Frenchman’s baguettes and coffee (see above), and each room has a fridge to keep water and any provisions cold.
Another tip in fact is that between about 11am and 2pm a wagon goes up and down the main road selling fruit and vegetables–mainly for the restaurants, but also handy and tasty for beach-snacks and picnics; tomatoes, avocados, bananas, improbably huge papayas, pineapples, and water melons. You can keep them all in your fridge until you want to enjoy them. Alternatively, the Posada has rooms for $25 with a kitchen so you could cook-up your purchases and save a spot of cash.
The Posada reception is open 8am to 8pm, and there’s one free terminal for guests’ internet access during that time (it gets quite busy, but people are pretty good about not hogging it).