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6th St. is pretty much downtown so I don't know of other than hotels around there, Hyde Park isn't too far from 6th Street, the main area of Austin itself isn't really that big, so you can get anywhere pretty quick. I live in the NW area in the suburbs and I can get downtown in 25 minutes.
6th street is pretty fun, I usually hang out on Red River (off 6th), it seems to be where the more dive bars and good live music are. Most every time I go out I don't have any specific idea where I will end up but pretty much every night you can find some kick ass music.
You can tube and rent canoes and shit around Barton Springs and cruise around the river down town, and there are plenty of places out of town with good tube runs. There has been a pretty severe drought so I don't know how good water levels would be now, I know Lake Travis is way low.
There's Hippy Hollow that's been a nudist area on the lake it was a bit of a legend when I was growing up here in the 70's. From what I hear now it's mostly dudes so I've stayed clear but I can imagine it gets nutty on Memorial Day.
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