Punihuil Pinguinera- fantastic half hour boat tour to see penguins and lots of other wildlife on three little islands right off the coast; price negotiable.
El Rincon del Caleuche- in Punihuil, the restaurant all the way at the end of the beach strip; fabulous empanadas (their specialty is cheese with abalone-locos)! Tel. 918 122 40.
La Botica de Cafe- in Ancud, within one block of the main plaza; has great coffee (espresso)!
*In town see the palafitos, houses on stilts, and the main church plaza.
*Around the area, tour churches.
Palafito 1326- really nice boutique hotel, Ernesto Riquelme 1326, Tel.56-65-530053, www.palafito1326.cl
Palafito hostel-by the same owners, a more affordable option, also nice. Ernesto Riquelme 1210, Tel.56-65-531008 www.palafitohostel.com
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