There's very little to detain the traveller in ALTAGRACIA , a sleepy town set slightly inland from the lake on Ometepe's northeastern side. Its Parque Central is nicely ringed by several pre-Columbian statues found on the island and, should you decide to stop here, there are two good places to stay . The Hospedaje y Restaurante Castillo (tel 552-8744; up to US$10), 100m south and 50m west of the church, has basic but spotlessly clean rooms, some with private bath. There's also a good restaurant, and horseback trips and guides for hiking up the volcano can be organized by the helpful owner. Hotel Central , two blocks south of the Parque Central (tel 552-8770; US$5-10), is a little more upscale and very comfortable. As well as regular rooms, some with private bath, there are good-value little cabañas that sleep up to four people; breakfasts, comidas corrientes and sandwiches are served in the little restaurant of the same name. Hospedaje Don Kencho (up to US$10), just along from Hotel Central , has box-like rooms with shared bath; the comedor at the front serves good-value meals. There's another decent comedor on the plaza opposite the bus station.

The hike up Volcán Concepción starts from just outside Altagracia and takes around eight hours for the round-trip. Much of the climb is extremely steep and it's a good idea to hire a guide - ask at the Hospedaje Castillo .