Well, Malaga is big and has big city traffic. There are more things to see, museums, etc., but they are all spread out. Nerja, is a little place, you can walk from one end of town to the other in 30 minutes, or you could spend all day strolling around the little alleyways & visiting shops. I don't think there is a single museum... but there is an interesting Moorish ruin about 20 minutes beyond Nerja that has a museum -- you'd need a car. That's also on the way to Granada & the Alhambra, 2 hours from Nerja through awesome scenery. A couple of white hill towns, Torrox and Frigiliana, are nearby -- they are both quite an uphill hike, I'd also hire a car, or at least take a taxi to Frigiliana and walk back downhill. Nerja has some hidden coves at low tide where you can be off by yourself and there are big beaches with the typical bars & rental lounge chairs. Nerja's main claim to fame is la Balcon Europa. In the photo below, it is the large gray plaza to the right.
Quote:Bordered on all sides by acres of farmland, Nerja is an international, easy-going town, with more emphasis placed on recreation than the fast-paced lifestyle of Málaga, indeed you could be forgiven for thinking you had relocated to the French Riviera. Although popular it has managed to evade the high-rise buildings and invasive development schemes which have dominated the larger resorts in recent years. The mountain views which surround the town are also extremely impressive.
Young visitors will find Nerja's laid-back, easy-going ambience just a little too relaxed for comfort, but for those who want to sit back and forget the more hectic attractions of the Coast, this is the place to do it.
Nerja Beaches
The hotel I was recommending is just off the photo to the right. There were some ugly, half-completed building on the west-side of town... but there's no reason to go there.

The east-side is better, there are also some nice-looking condos to the east for longer stays or more people.
See, now if you go, you'll probably hate it, but I wish I could go back this winter... I'm going to Mexico instead.