24-Hour Room Service: Kempinski Grand Hotel, Heiligendamm, Germany

When George Bush and Tony Blair check into the Grand Hotel in Heiligendamm for the G8 Summit on 6 June, they'll add their names to a famous (and occasionally infamous) guest list that stretches back 200 years. Founded in 1793 by Duke Friedrich-Franz of Mecklenburg, the resort in which it stands on Germany's north-east coast was inspired by Brighton – but while the hotel prospered, the town around it hardly grew. Over the next two centuries it was frequented by all sorts of VIPs, from Nelson to Mussolini, who came to wallow in its splendid isolation.

Heiligendamm has all the creature comforts you'd expect of a five-star hotel, including a Michelin-starred restaurant. But what makes it so special is its location. Tucked away in a thick forest in an obscure corner of the Baltic, its quiet sandy beach comes as a wonderful surprise.

The entire town consists of just a handful of whitewashed Biedermeier buildings, most of which are part of the hotel. Owned by a Jewish banker before the Second World War, it was a naval academy during the Third Reich and a workers' spa during the Cold War, when it lay behind the Iron Curtain. After reunification it was restored by Fundus (the firm that rebuilt Berlin's Adlon Hotel) and reopened by the Kempinski chain in 2003.

The hotel is closed to the public from Tuesday until 11 June, but at any other time it's an excellent base for exploring one of Europe's most atmospheric and undiscovered coastlines. After all the upheavals of the last century, this G8 venue still feels like an elegant relic of a more sophisticated age. Let's hope some of that civilised ambience rubs off on its eight guests.

LOCATION

For such a secluded spot, The Kempinski Grand Hotel Heiligendamm (00 49 3820 37400; www.kempinski-heiligendamm.com) is surprisingly well connected, and its rail link with the outside world could scarcely be more romantic. A steam train halts every hour right outside the hotel from the pretty, unpretentious resort of Kühlungsborn. From here it's about 15km (another 20 minutes by train) to the Hanseatic Port of Rostock.

Time to international airport: Hamburg is 200km away – a 90-minute drive, or three hours by train. Berlin is 220km – a two-hour drive. Lübeck airport (with Ryanair flights to Stansted) is 96km away.

COMFORTABLE?

With 225 rooms (including 107 suites) spread over five buildings – which range from a dazzling white castle to colonnaded classical structures – this is more of a private village than a hotel. The decor is classic and understated: pale grey and cream. The modern furnishing blends well with the historic architecture, but the overall effect is a bit unreal.

Freebies: toiletries, overnight shoeshine (they even replace your laces) and a free children's club for over threes, but the biggest perk is access to the sumptuous spa, plus sunrise yoga with Himalayan master Vijay Vyas.

Keeping in touch: Direct-dial phones, pay-for internet access.

THE BOTTOM LINE

Doubles start at €225 (£160) until 1 September and €295 (£210) thereafter, including breakfast.

I'm not paying that: the Hotel Polar Stern (00 49 3829 38290; www.polar-stern.com) is in Kühlungsborn, an attractive resort about 15 minutes by steam train from Heiligendamm. Doubles from €110 (£79) in high season, €85 (£61) in winter, including breakfast.

Compare Travel Insurance - 5 day Euro cover from £4.33 and Annual worldwide policies from just £43.08