The new downtown luxury hotels, like the Magnolia and the Sam Houston, could've been contenders in this category if it weren't for one thing: construction. Downtown demolition ruins the luxury. Until the city center is put back together again, the stylish Hotel Derek remains the place to be seen lodging among the elite. Celebrity sightings are commonplace, and the surroundings are chic as ever. The initial hubbub over the Derek has abated somewhat, so you won't feel as if you've walked into a commercial. Houston's only boutique-style hotel has also recently announced that it's okay to bring your dog -- an important feature for the rich and famous who just can't bear to be separated from Fifi for a night.