We spotted the hotel on the last visit. It´s an old villa of high ceilings, wood and antiques. Some of rooms are basic and windowless (and cheap) but we´ve got the suite; a remnant of when we were going to bring a friend with us. There are two rooms, two bathrooms and a huge balcony with a hammock for GBP80.
Olinda styles itself as an art town with seemingly half the houses occupied by painters. The hotel is strewn with the stuff.