Pepi Boutique Hotel, Rethymno

kimkim team favorite
5.0 (1 review) Upscale
Charming adults-only hotel with historic building details, a plunge pool, family-run hospitality, and an excellent Cretan breakfast

Overview

Expect Cretan hospitality at this small, family-run hotel set in a historic schoolhouse in Rethymno's Old Town. Despite the central address (just a five-minute walk from the Venetian Harbour), the setting feels peaceful and private, particularly within the high stone walls of its sunny courtyard (complete with plunge pool and palm trees). Each of the 17 rooms includes original architectural details, pillowtop mattresses, and espresso makers; larger suites add separate living areas and sleeping lofts. Don't miss the included breakfast—a traditional island affair that showcases locally sourced cheeses, honey, and breads.

Kimkim's Take

A
Alyssa Skites kimkim staff
Based on kimkim staff visit, November 2025 (Learn more)
Pros 
  • Stay in a historic Old Town schoolhouse-turned-boutique hotel, run by third-generation owners.
  • The address is ideal for exploring on foot, with landmarks, museums, and beaches all within walking distance.
  • Rooms have a warm, homey feel; we're fans of the newly-renovated, upper-story Superior units with soaring original ceilings and larger bathrooms.
  • Soak up some sun around the plunge pool, set in a walled courtyard dotted with citrus and palm trees.
  • The authentic Cretan breakfast includes an excellent selection of island-sourced products, such as thyme honey and local cheeses.
  • Despite the central Old Town setting, the hotel feels surprisingly quiet and peaceful.
Cons
  • This is a small, family-run property, so you won't find the amenities of a larger hotel.
  • You can't park in the pedestrianised Old Town, but public lots are within walking distance, and taxis can drop guests off at the door. 
  • Some of the Standard rooms are on the small side; book a Superior unit or Suite for more space.  

Authenticity

This traditional stone building began life in the early 20th century as the Athena Primary School, falling into disrepair and abandonment over the years until it was bought by a local cotton and silk merchant. Today, his grandchildren (Sifis, Manos, and Maria) own and run the small boutique hotel, named for their mother, Pepi. The updated interiors feel contemporary but traditional, preserving original features like stone walls and exposed rafters, and the service is standout, offering a true taste of Cretan hospitality.

Location

You'll stay just a few blocks west of the harbor, surrounded by the Venetian-Ottoman architecture and mazelike alleys of Rethymno's Old Town. It's an ideal base for exploring the city on foot, surrounded by tiny shops, bars, and tavernas. You can reach the 17th-century Rimondi Fountain or the Venetian Harbor in under 5 minutes, head north to explore the Fortezza of Rethymno citadel in 10, or stroll east to the town's sandy beach in 20. The nearest airport is Chania, about an hour's drive west. No cars are allowed in the surrounding area, so you'll need to park in one of the public lots, located a 5-10-minute walk away. 

Rooms & Bathrooms

There are just 17 air-conditioned rooms here, all with a soft, neutral palette, characterful architectural features (including stone walls and exposed rafters), and modern comforts like espresso makers and pillowtop Candia mattresses. The ground-floor Standard and Maisonette units are the smallest (and simplest), with corner showers and views of the pool area and courtyard. Recently renovated Superiors are up a level, adding space and more luxurious bathrooms, while Suites offer a split-level stay with a loft-style bedroom, living area with sofa bed, and a small kitchenette. 

Amenities

The hotel's sun-soaked courtyard is a delightful spot, with a petite plunge pool surrounded by tall stone walls and shaded by palms and fragrant citrus trees. You can enjoy the included breakfast here in warmer weather: an authentic Cretan spread that includes cheeses, yoghurts, eggs, breads, olives, and the island's famous thyme honey (vegan and other dietary options are available). Indoors, you'll find a small bar and an atmospheric stone wine cellar (complete with original arched ceilings), where you can book wine tasting experiences with advanced notice. 

Family-Friendliness

This is an adults-only hotel, for ages 15 and up. 

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Hotel Information

Hotel stars icon 4-star Hotel
Hotel phone icon +30 2831026428
Hotel address icon 22 Tsouderoun
View on Expedia Open in Google Maps Hotel website
Free wifi

Traveler Reviews

Karen
Karen W.
Chestnut Hill, MA | Reviewed on Oct 08, 2023
Beautiful hotel. Great breakfast. Lovely outdoor area for relaxing.
Good location (if you want/need to be in Rethmynon)
Read more

Beautiful hotel. Great breakfast. Lovely outdoor area for relaxing.
Good location (if you want/need to be in Rethmynon)

Authenticity & Character
Location
Staff
Cleanliness & Comfort
Stayed in September 2023

Like what you see?

Chat with our local specialists and let us help you customize your trip with hotels like this.

Get started

Hotel Information

Hotel stars icon 4-star Hotel
Hotel phone icon +30 2831026428
Hotel address icon 22 Tsouderoun
View on Expedia Open in Google Maps Hotel website
Free wifi