Hi Treetownal,
We stayed in a villa at Olas de Oro which is quite near the Bahia de Arena for two weeks in December. I walked past your place several times and it looks very nice indeed. Pretty much just like their pictures on their website.
The walk along the beach to the main part of Cabarete is about 10-15 minutes LEISURELY STROLL. One thing I would suggest is if you are walking back at night to definitely bring a small flashlight. It can get quite dark and there are sandcastles and holes and logs to look out for.
Unfortunately, there has been a lot of beach erosion at that end, so we mostly walked into Cabarete and rented loungers there for the day for sunbathing and swimming. As I recall, the Bahia de Arena have beach chairs set up on a little "bluff" and this could be just as nice if you don't feel like walking into Cabarete itself.
There are several grocery/convenience stores in the area. A small one is located just across the street from the Olas de Oro/hotel Caracol (a little to the east of where you are). It is called Rosa's and they do deliver heavier stuff like water and (of course), Presidente. There is another on the beach side of the street just as you get more into the main strip of Cabarete. I can't remember the name of this one, but they had more variety (eggs, meats, etc). Right in Cabarete, very near the Scotia Bank is another very good one with even more selection (fresh bread, sliced meats, cheeses, booze, etc. etc.)
One restaurant that I highly recommend is the Tropicoco. It is on the street in the same complex as the Olas de Oro/hotel Caracol. We ate there several times and the food is fantastic. I highly recommend the shrimp in cream sauce and for the non-fish eaters, the chicken cordon bleu. None of us had a less than fantastic meal there.
Rose