Hotel Cayo Arena
We just came back from two days in Montecristi, we went with my husband's brother and his wife who have been there before. In town is the Hotel Chic, where they stayed last time, and they said it was not pleasant - a/c didn't work, hot water didn't work, they wouldn't go back - but we DID eat a nice dinner and breakfast there. Right on the water is the Hotel Cayo Arena, we stayed there in a suite [2 bedrooms, bath, living room, kitchen, small veranda] for 3150 pesos a night [under $100]. A/C in both bedrooms, hot water, nice people. You have to drive along a makeshift road directly along the water to get to the hotel. They have a website:
Hotel Restaurante Cayo Arena - Montecristi Dominican Republic [which I haven't looked at], their phone is 809-579-3145. There was another hotel [painted green] on the waterfront, but there was literally only one car in the lot, whereas the place we stayed had about six, even though it was a little more difficult to get to.
AE