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The bay of
Cabo San Lucas, at the southernmost tip of Baja, was once a base for pirate ships waiting to pounce on Spanish treasure ships. Even fifteen years ago, it was little more than a fishing and canning village occasionally visited by adventurous sports fishermen with the means to sail in or fly down, but it quickly earned a reputation for the marlin that could be caught here, and the once-quiet place found itself inundated with fishermen in search of El Marlin Azul, home to sleek, radar-equipped fishing yachts.

In recent years, it has rapidly become the focal point of Los Cabos: million-dollar condos have sprung up, palms have been transplanted, golf courses have been laid, water has been piped in from San José and everywhere is kept pristine. More like an enclave of the US than part of Mexico, preserving almost nothing that is not geared to tourism, it can be fun for a day or two, unless, of course, you want to fish or dive. Though prices are higher than in neighbouring San José, there's more of a party atmosphere, with a younger crowd. Currently there are some 3000 rooms for rent, and the local feeling is that 10,000 is the next feasible "goal" that would equate the town with the long-established resorts such as Mazatlán or Acapulco. Upcoming developments include an enormous mall that will comprise a convention centre, a theatre complex, a bowling alley, a huge parking outlet and condos, and there are even plans for an artificial island to sit in the bay, complete with restaurants and bars.

With its great sands and fascinating marine life, Cabo San Lucas should be one of the most attractive spots in Baja. Above all there's the huge
rock arch at Finisterra - Land's End, where the Sea of Cortés meets the Pacific - an extraordinary place, with a clear division between the shallower turquoise waters on the left and the profound blue of the ocean on the right. A colony of sea-lions lives on the rocks roundabout. Only the adventurous can walk over the rocks to the arch (from Solmar Suites) but there are plenty of trips out here from the marina, most of which take in one of the small surrounding beaches, more often than not Playa del Amor, which boasts strands on both seas. A round-trip to Playa Amor via water taxi will cost a negotiable US$7.

Around the marina, down the nearby streets and along the
Playa Médano, the town's closest safe beach, hawkers constantly tout trips in glass-bottomed boats, fishing, waterskiing, paragliding or bungee jumping, and will rent anything from horses to off-road quad bikes to jet skis and underwater gear. Competition is fierce, prices change and places come and go, so shop around. Scuba diving and snorkelling are perhaps the most rewarding of these activities, though the best sites (out towards Finisterra) can only be reached by boat. For gear rental, snorkelling trips and scuba courses, check out the many companies along Blvd Marina, especially in the plazas. Or simply rent a snorkel and fins at the marina (US$7), take a water taxi to Playa del Amor, and swim back to Pelican Rock, where the underwater shelf is home to schools of tropical fish. Experienced divers shouldn't miss the rim of a marine canyon also off Playa del Amor, where unusual conditions at 30m create a "sandfall" with streams of sand starting their 2000-metre fall to the canyon bottom. The most popular dive is to Cabo Pulmo, the giant coral reef (though this is more easily reached from San José), where some of the larger members of the underwater food chain make their home.