We're planning on spending a week in Kastelruth this summer and I'm interested in recommendations for a 1 bedroom apartment to rent. We're not interested in staying in a hotel. In town or just out of town (less than 15-20 mins walk into town) is OK.
You could also consider the Val Gardena instead of Castelrotto, since Castelrotto is not quite in the Dolomites.
Try quaint Ortisei. More public transport options too.
Since Roberto brought it up, I'lll second his suggestion of the Val Gardena. Kastelruth is not in the Dolomites, but on the outskirts. Pick any of the 3 towns/villages in the Val Gardena. They are very close together.
Paul
I agree with Roberto and Paul...stay IN the Dolomites, not adjacent to them. It will save you time and be much more beautiful and memorable!