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OVERVIEW: No one visits Ibiza without taking a trip to neighboring sister island Formentera, a thirty-minute boat ride (by ferry or private charter) from the port of Ibiza. Known for its long stretches of powdery white sand, a crystalline azure sea, wild dunes, narrow fig tree-lined lanes and protected underwater parks, it’s a terrific place to scuba dive, snorkel or rent bicycles and scooters. It’s the flip side of the raging Ibiza scene, which is why everyone comes here to unwind from excessive partying: no clubs, no dressing up, no noise, and no traffic.

WHERE TO STAY: Las Banderas (Playa Mitjorn, km 8.7; 34-606-64-48-32; fax: 34-606-33-23-77), nestled in the dunes, is a mini-complex of five simply furnished pink bungalows with irresistible funky charm. It’s the kind of place where high-profile clients come to relax incognito and Jade Jagger occasionally celebrates her birthday. There’s also an excellent outdoor seafood restaurant owned by British-born Leah Tilbury. I’ve stayed here twice and would go back in a flash. The high point: diving into the turquoise shallows with not a soul in sight during the height of the summer season. There’s no website: it’s all very word-of-mouth. Bungalows from $102.

Cap de Barbaria (Carretera de Cap de Barbaria, km 5.8; 34-617 46 06 29; www.capdebarbaria.com), hidden away in the vineyards near the lighthouse, is a newly opened upscale agroturismo hotel with six rooms. The small restaurant serves Mediterranean cuisine and nice wines, including local vintages. It promises to be a wonderful addition to Formentera’s laid-back luxury scene. Doubles $587 including breakfast, transfer from the port, the use of a car and two mountain bikes.

WHERE TO EAT: Restaurante Juan Y Andrea (Playa Illetas; 34-630-93-09-13; www.juanyandrea.com), located right at the water’s edge on a paradisiacal strip of beach, is the spot where the glitzy yachting crowd lunches on Catalan specialties. Try the fresh fish baked in salt or the lobster paella. It’s my favorite place to dine. Booking is essential.

Blue Bar (Playa Mitjorn; 34-971-187 011; www.bluebarformentera.com), on Mitjorn beach, is where the cocktail crowd meets at sunset and lingers to star gaze (as in constellations, not people). It’s a mellow spot, though occasionally there’s dancing into the wee hours.

WHAT TO SEE & DO: The hippie market (Avinguda de la Mola, El Pilar; 34-971-327 015; www.majoral.com) held on Sundays at La Mola, a former haunt of Bob Dylan and friends, houses an annex of boutiques with handmade jewelry by local craftsmen. Among the most outstanding is Majoral, run by native islander Enric Majoral who designs original pieces in coral, gold, bronze and silver. Many are modeled after local plant motifs.

If you drive along the beautiful rocky coastal cliffs in the north, stop at this tiny mountain village, which is famous for its chapel, located in an underground grotto, and its honey-colored stone houses.