I could be anywhere in the world – the Bahamas, Hawaii, Miami Beach, even Rio. However, this is Pattaya, the coastal city only two hours drive from bustling Bangkok. I am staying in the Royal Cliff Grand, one of four hotels in the Royal Cliff complex that dominates the hill between Pattaya and its neighbour, Jomtien Beach. The resort is luxurious in every sense of the word; casually elegant staff padding across marbled foyers, deep-cushioned pool loungers shaded by large umbrellas, brightly-coloured cocktails and even a lift down to the beach. With a choice of 10 restaurants and four bars I really don't have to leave the resort if I don't want to.

The Royal Cliff has long been the 'grande dame' of tourism in Pattaya. As I stroll down to the poolside, I marvel at how a place this size - with more than 1000 rooms - manages to maintain a feeling of intimacy. The answer lies with the staff. Everywhere I go I am met with a smile and the friendly greeting: "Sawadee". It's no surprise that the complex recently won an international award for having the highest customer rating in Asia.

Things have not always been easy. Pattaya has lived through some troubled times after its frenetic growth from a sleepy fishing community to a sprawling resort city. It ended up with a reputation for polluted seawater and a sordid nightlife, and many tourists deserted it for new destinations like Phuket and Koh Samui. But Pattaya has been waging a determined battle to restore its reputation, with the support of Thailand tourism officials and the local industry.

The sex industry – the go-go bars, massage parlours and ‘beer bars' – are still there, but they are much tamer and less “in-your-face” – far from the days when they were THE main attraction. Now you can easily visit Pattaya and not be part of it all.

What Pattaya has to offer is great recreation facilities. Nearby are some of the best golf courses in Asia , designed by big names like Jack Nicklaus, Robert Trent Jones, Nick Faldo and Gary Player. In fact, the facilities offered in this coastal city would be hard to match anywhere. There are go-karting tracks, mini-golf courses, horse-riding schools, bungy jumping, flying clubs, shooting ranges, botanical gardens, an elephant village, big shopping centres and even a Ripley's Believe It or Not Museum! New developments include an amazing Underwater World, an aquarium where you walk in glass tunnels through massive tanks teaming with sealife, and a purpose-built complex housing a traditional Thai extravaganza show, the Alangkarn.

I visited the city during the traditional off-peak period and was amazed at the number of tourists. As I chatted away to them, I realized that one of the biggest attractions of the city is how inexpensive everything is. Besides incredible hotel rates, dining out and drinking out costs a fraction of what it would in Europe or even other parts of Asia. Take this example; I spent a day relaxing on Jomtien Beach. The total cost of hiring a beach chair and umbrella, together with lunch (a burger, French fries and coffee) and another three cooldrinks during the afternoon, was around five US dollars. Transport to and from the beach by taxi bus cost me half a dollar. Try to match that anywhere!

However, many of the tourists, especially the Europeans, could afford to travel anywhere in the world, but choose Pattaya time and time again. The views of Stafford and Gloria, a couple from Manchester , was echoed by many I spoke to: “We like the people, those who work here and those who holiday here. They aren't stuck up or pretentious. We've tried other resorts, in the Canaries and the Mediterranean , but we never had half the fun we have here.” They said they loved the new-look Pattaya. “It has changed a lot, with the new Hard Rock Hotel and Starbucks and shopping malls. It's cleaner and nicer, but it still has a lot of character. We just love it!”

Signs are that Pattaya is on the brink of a new tourist boom. Bangkok's new international airport, due to open next year, will only be an hour's drive away. Scores of condominium developments have been doing selling out fast and new hotels, including a super-luxury Sheraton, are targeting a more upmarket customer. Another sign of progress is the number of small boutique guesthouses, restaurants and speciality shops opening up. At Jomtien Beach, just over the hill from the main part of Pattaya, complexes that had been virtually boarded up for years are being renovated as entrepreneurs prepare to cash in on an increase in visitors. Pattaya will never be a pristine and polished product, but its slightly ramshackle atmosphere does have its own charm.

Pattaya attracts large numbers of package tourists from Europe, China and Russia, but it is the growing number of independent travelers who are fuelling growth. The well-heeled choose resorts like the Royal Cliff, the Dusit Resort, the Marriott or the trendy Hard Rock Hotel. Those seeking out comfortable, affordable accommodation are opting for the Siam Bayshore Hotel, the Montien Hotel, the Amari Orchid and a string of high-rise hotels along Jomtien Beach. Real budget choices are plentiful.

Back in my hotel room at the Royal Cliff Grand Hotel, I faced the dilemma of where to dine that night. I had already visited four restaurants in the complex – the Chinese, Italian, Japanese and Indian ones – so I opted for a seafood restaurant just off Walking Street in the heart of south Pattaya. Being full moon and the best time to eat crab, I opted for a delicious Thai crab curry.

As I licked my fingers and dawdled over a beer, I watched the passing parade. I couldn't help chuckling to myself as one character after another strolled by. I was even tempted to buy a small battery-operated toy dog that barks from a passing vendor. Finally, I understood what draws people to Pattaya – it's jolly good fun at a jolly good price!