We were there in mid August of 2014. This isn't a hotel - it's a fully-furnished apartment right in…read morethe city. And it's awesome. There are three apartments, one on each floor, and they're managed by a heck of a nice guy named Juan. He owns/operates a bike repair shop that shares the lot with the apartments. We stayed in Apartment A, which was actually on the second floor. Here's the view out of the bedroom. You can see the courtyard that separates the apartments from the bike shop http://www.elcantondeotero.com/images/inst010b.jpg
The apartments are extremely secure - you have a gate key, a front door key and then a key to your apartment. Not that the city isn't safe, it's a very nice city full of life and fun. But if you're concerned about valuables, this place is a good option. Note, there is no A/C so plan to sleep with a window open. There are several furnaces though.
Four main benefits to this place that my wife and I loved -
the charm - it's romantic as hell
the price - very affordable
the location - across from the Restaurante Gran Duque, a nice spot, and VERY close to parking
the size - it's smaller than most American apartments but felt very spacious compared to the hotels we'd stayed in on this trip
Be aware - Santillana del Mar is a very compact medieval town with extremely narrow roads packed with shoppers/site seers. You really don't want to drive through town if you don't have to. Try to circle around the town on the wider roads. Finding the apartment the first time can be a challenge if you come in from the wrong side of the town. If you enter the town from the side with the Zoo you'll have no problem. You can park near the tourism office lot for 2 euro a day and be less than a minute walk to the apartment.
We'd go back in a heart beat. It's not a B&B, so plan on cooking your own breakfast.
