A big mistake that many people make when visiting Morocco is staying in a large modern hotel outside of the medina. The better choice is staying at one of the riads that you find scattered about the medinas of Marrakech, Fez, Tangier, and other Moroccan cities. I myself stayed at the Riad Tzarra in the heart of the Marrakech Medina. It's easy to get lost in the medina and it's difficult to find the riad at first, but that's part of the charm of Marrakech! From the riad it only takes 5 minutes to walk to the famous Jaama El Fnaa. It's a very elegant and tastefully decorated riad with 4 rooms (called Africa, Tibet, Persia and the Colonial suite) that are all painted and decorated in different styles.