Disclosure: This article contains affiliate links. We may earn a commission from purchases at no extra cost to you, which helps our travel content.
When my accounting firm sent me to South Dakota for a tax consultation with a multinational client, I found myself with a weekend to explore Watertown—a delightful surprise in America's heartland. Que maravilha! (How wonderful!) This charming city nestled alongside Lake Kampeska offers accommodations that cater to every family's needs and budget. From lakeside luxury to wallet-friendly comfort, let me guide you through the best places to stay in Watertown that will make your family weekend both memorable and financially sensible.
Lakeside Retreats: Family Fun on the Water
Lake Kampeska forms the backdrop for Watertown's most appealing family accommodations. The Lake Kampeska Lodge & Resort stands out with its spacious family suites and direct beach access—a combination that had me reminiscing about childhood vacations on the Brazilian coast, albeit with a distinctly Midwestern flavor.
The resort offers two- and three-bedroom units with full kitchens, which any family with picky eaters will appreciate. Economizar (saving money) on restaurant meals is always a smart travel strategy, especially with kids in tow. The resort's private swimming area features shallow entry points perfect for younger children, while older kids can enjoy the paddleboat and kayak rentals.
If you're planning to spend significant time on the water, consider bringing your own inflatable paddleboard. I watched several families enjoying these versatile boards that pack down surprisingly small—much more practical than trying to rent equipment daily during peak summer weekends when availability becomes limited.
💡 Pro Tips
- Book lakeside accommodations at least 3 months in advance for summer weekends
- Request a ground-floor unit if traveling with small children or older family members
- Lake Kampeska Lodge offers 10% discounts for stays of 3+ nights
Downtown Convenience: Hotels with Family-Friendly Amenities
For families prioritizing proximity to Watertown's attractions like the Bramble Park Zoo and the Terry Redlin Art Center, downtown accommodations make perfect sense. The Hampton Inn & Suites became my temporary office during my business stay, and I couldn't help but notice how well it caters to families.
Their complimentary hot breakfast—a financial analyst's dream for value—offers substantial savings for families. The indoor pool area features a separate shallow section for toddlers, and their family suites include convenient mini-fridges and microwaves. When traveling with children, these small amenities make a significant difference.
Another standout is the Country Inn & Suites, where I observed their staff going above and beyond for family guests. Their evening cookies were a hit with the children staying there, and the hotel's lending library is stocked with children's books—perfect for bedtime stories in a new environment.
A travel hack I discovered: pack a white noise machine for family hotel stays. The compact size makes it perfect for travel, and it helps children maintain sleep routines despite unfamiliar surroundings and hallway noises that are inevitable in hotels.
💡 Pro Tips
- Request rooms away from elevators and ice machines for quieter family accommodations
- Hampton Inn's manager told me they offer complimentary cribs, but they're limited, so request one when booking
- Both downtown hotels offer free parking—a small but meaningful saving for road-tripping families
Budget-Friendly Options Without Sacrificing Comfort
As someone who analyzes numbers professionally, I appreciate accommodations that deliver value without compromising on essentials. Watertown offers several budget-friendly options that surprised me with their quality-to-price ratio.
The Super 8 by Wyndham recently underwent renovations that elevated it beyond typical budget expectations. Their family rooms feature two queen beds and enough space for a portable travel crib, which I noticed a young family using—a brilliant solution for traveling with infants that's much more packable than traditional pack-and-plays.
The Econo Lodge represents another solid budget choice, particularly for families road-tripping through South Dakota. While the amenities are basic, the rooms are clean and surprisingly spacious. Their free continental breakfast isn't elaborate but provides enough options to fuel a morning of sightseeing.
Dica de profissional (professional tip): When booking budget accommodations, always check recent reviews specifically from family travelers. The manager at the Econo Lodge shared that they've designated certain rooms as 'family-friendly' with additional soundproofing and slightly larger floor plans—but you need to specifically request these when booking.
💡 Pro Tips
- Budget hotels in Watertown often offer significant discounts for Sunday through Thursday stays
- Ask about AAA, military, or corporate discounts—many chains offer 10-15% off but don't always advertise this
- The Super 8 offers free stays for children under 17 when sharing a room with parents (using existing bedding)
Unique Stays: Beyond Traditional Hotels
During my weekend exploration, I discovered that Watertown offers several unconventional accommodation options that might appeal to families seeking a more distinctive experience.
The Joy Ranch on the shores of Lake Kampeska provides a fascinating historical immersion. This restored 1930s ranch offers family cabins with a deliberate old-time feel while maintaining modern necessities. Children seemed enchanted by the property's horses and the chance to experience a slice of Dakota frontier life.
For families who enjoy the outdoors, the Lake Pelican Camping Resort offers cabin rentals that provide a camping experience without requiring you to bring gear. Their lakeside cabins include kitchenettes and air conditioning—glamping at its most family-friendly. I spent an afternoon there interviewing a local business owner and noticed families using portable camping hammocks between trees near their cabins, creating perfect afternoon reading spots for parents and play areas for children.
My Brazilian upbringing taught me the value of connecting with nature, and these unique accommodations offer families a chance to step away from screens and into shared outdoor experiences—something increasingly precious in our digital age.
💡 Pro Tips
- Joy Ranch books up quickly for summer weekends—reserve 4-6 months in advance
- Request cabins 3 or 4 at Lake Pelican for the best balance of privacy and proximity to amenities
- Both unique stays offer significant shoulder season discounts (May and September) with equally pleasant weather
Family-Friendly Dining Near Your Accommodation
While not strictly about accommodations, a family-friendly place to stay should offer convenient dining options. During my Watertown weekend, I discovered several establishments that cater wonderfully to families and are strategically located near popular lodging areas.
Near the lakeside accommodations, Watertown Brewing Company surprised me with their excellent children's menu and patient staff. Despite being a brewery, they've created a family-friendly atmosphere during daytime hours with high chairs, coloring activities, and quick service—essential when dining with hungry children.
Downtown, Dempsey's Brewery offers another family-friendly option within walking distance of the Hampton Inn and Country Inn & Suites. Their outdoor patio accommodates strollers easily, and their children's portions are genuinely sized for young appetites rather than being overpriced smaller versions of adult meals.
One item I noticed savvy parents bringing to restaurants was the silicone placemat. These roll up small in a diaper bag but create an instant clean surface for young children to eat from—brilliant for travel when you're concerned about high chair cleanliness or need to contain messes.
Como dizemos no Brasil, 'barriga cheia, coração contente'—as we say in Brazil, 'full belly, happy heart.' This certainly applies to family travel, where well-fed children (and parents) make for much more pleasant vacation experiences.
💡 Pro Tips
- Both breweries offer early dinner hours (4-6pm) that are quieter and more accommodating for families with young children
- Ask your hotel front desk about local restaurants that offer 'kids eat free' promotions—several Watertown establishments have these on specific weeknights
- The Watertown Brewing Company offers 10% off your bill if you show your room key from any local hotel
Final Thoughts
Watertown may not initially register on most family vacation radars, but my unexpected weekend there revealed accommodations that thoughtfully cater to families across various budgets and preferences. From lakeside retreats that reconnect families with nature to downtown hotels that put you steps from attractions, this South Dakota city delivers surprisingly diverse options.
As both a financial professional and someone who values authentic travel experiences, I can confidently say that Watertown offers excellent value without compromising quality. The welcoming Midwestern hospitality I encountered everywhere reminded me that sometimes the most memorable family accommodations aren't found in famous destinations but in places where genuine care is taken to make travelers feel at home.
Até a próxima aventura! (Until the next adventure!) Whether you're planning a dedicated Watertown vacation or including it as part of a broader South Dakota journey, these accommodation insights should help you create a comfortable, enjoyable, and budget-appropriate base for your family explorations.
✨ Key Takeaways
- Book lakeside accommodations 3-6 months in advance for summer visits
- Downtown hotels offer the best combination of amenities and attraction proximity for families
- Budget options in Watertown deliver better quality than their price point suggests
📋 Practical Information
Best Time to Visit
Summer (June-August)
Budget Estimate
$100-250 per night for family accommodations
Recommended Duration
2-3 days
Difficulty Level
Easy
Comments
stardiver
LOVE finding posts about unexpected places like this!! We always do the same tourist spots and honestly I'm getting bored. Watertown looks like a great stopover between Sioux Falls and the Badlands. Adding to my list for our cross-country trip this summer!
Douglas Bradley
Interesting perspective on Watertown - I appreciate how you broke down the accommodation options by category rather than just price point. The lakeside properties seem particularly appealing for families looking to extend a road trip through the region. I'm curious about the seasonal variation in rates though. South Dakota can be quite different in winter versus summer, and I'd imagine the lakeside appeal diminishes considerably when those lakes freeze over. Did you get any sense of how the local hospitality industry adapts to the shoulder seasons?
luckyninja
Which lakeside hotel did you end up staying at? Looking at options for summer with my kids and the lake access sounds perfect for them.
stardiver
Not the author but I stayed at one of the lakeside places last year. Kids loved being able to walk right down to the water. Definitely worth it if you're bringing family!
luckyninja
Thanks! That's exactly what I was hoping to hear
beachwanderer
Never even heard of Watertown before this! Looks really nice though
Douglas Bradley
Same here! I think that's what makes these smaller Midwest destinations interesting - they fly completely under the radar but often have solid infrastructure for visitors.
freelegend
Are any of these places open year-round? Thinking about a winter trip to see family nearby.
skybackpacker
The downtown hotels definitely are. The lakeside places mostly close after October from what I remember. But winter in Watertown is beautiful if you can handle the cold!
skybackpacker
Stayed at the "Budget-Friendly" Dakota Inn you mentioned last month. Clean, basic, and the free breakfast was actually decent! Pro tip: ask for a room facing away from the highway for a quieter night. And don't miss the homemade pie at the diner next door - best in town!
Amit Sullivan
What a delightful surprise to see Watertown featured! During my cross-country journey documenting small American towns last year, I spent three nights at the Heritage Inn B&B downtown. The proprietor, Martha, is a walking encyclopedia of local history and directed me to several architectural gems I would have otherwise missed. The Terry Redlin Art Center nearby is absolutely worth a visit—his paintings capture the soul of this region beautifully. For those seeking cultural immersion beyond accommodation, I found the local Thursday night community potluck at Lake Kampeska during summer months to be where you'll experience genuine South Dakota hospitality. Just bring a dish and prepare for wonderful conversations!
roammaster
We missed that Thursday potluck! Definitely adding it to our list for next time. The Redlin Center was amazing though - our kids loved it too, surprisingly!
Savannah Torres
Luca, thank you for highlighting Watertown! We took our kids (7 and 9) there last summer as part of our Midwest road trip and were pleasantly surprised. We stayed at that renovated schoolhouse B&B you mentioned in the 'Unique Stays' section - my kids thought sleeping in an old classroom was the coolest thing ever! The host made special dinosaur-shaped pancakes for them each morning. One tip for families I'd add: pack your water shoes if you're staying lakeside. The shoreline can be a bit rocky in spots but perfect for little explorers with the right footwear!
photohero2744
Great timing on this post! Planning our South Dakota road trip and had no idea Watertown had so many options.
vacationking
Never would have considered Watertown before but those lakeside options look awesome! Bookmarking for next summer.
Venture X
Premium card with 2X miles, $300 travel credit, Priority Pass