Here are highly recommended, “best overall” hotels in and around Kandy (short note on why each is popular). I’ve included one or two sources for each so you can check current rates/availability.

• Mahaweli Reach Hotel — classic 5‑star riverfront hotel with colonial charm, good facilities (pool, spa, riverside dining) and easy access to Kandy. (mahaweli.com)

• Jetwing Kandy Gallery — contemporary luxury boutique on the Mahaweli with river views, strong design, suites with balconies/Jacuzzis and excellent service. (jetwinghotels.com)

• Cinnamon Citadel Kandy — dependable riverside 4‑star from a major Sri Lankan chain (good value, consistent standards and river views). (cinnamonhotels.com)

• The Kandy House — intimate, highly rated heritage boutique (9 rooms) set in a restored manor house — ideal for couples/quiet stays. (guide.michelin.com)

• The Manor House (Manor House Boutique Villa / Nugawela) — charming historic walauwa (manor) offering a small‑hotel, heritage experience near Kandy. (manorhousekandy.com)

• Helga’s Folly — one of Kandy’s most famous quirky/artistic boutique hotels (very distinctive décor and atmosphere). Great for a memorable, offbeat stay. (en.wikipedia.org)

• Olde Empire Hotel (Empire Hotel) — tiny heritage hotel in the city centre, directly by the Temple of the Tooth (excellent location if you want to be within walking distance of the temple). (oldeempirehotel.com)

• Amaya Hills — hilltop 5‑star resort overlooking Kandy with panoramic mountain views — good for scenic stays and events. (amayaresorts.com)

• Thilanka Hotel — larger, well‑located hotel with panoramic city/pool views — good value for travelers who want modern facilities close to town. (thilankahotel.com)

• Santani Wellness Resort & Spa (near Kandy) — award‑winning destination wellness resort set on a tea‑estate (about a 45–60 minute drive from Kandy) — best for wellness/retreat stays rather than city sightseeing. (santani.com)

If you’d like, I can:

• Narrow these to “best for couples”, “best for families”, or “best near the Temple of the Tooth” and show sample price ranges and distance to Kandy centre; or
• Check live availability/prices for specific dates and provide booking options.