New York’s Times Square is coming alive...

New York’s Times Square is coming alive with new hotels, but few as inexpensive as Ian Schrager’s refurbished Paramount on West 46th Street. This is the theater district, and who can argue with the prices: 40% of the Paramount’s 610 rooms cost $100 or less. (Doubles up to $170.)

Schrager spent a bundle spiffing up this old (circa 1927) hotel. Writer William Norwich called the Paramount a “high-tech inn for the hip un-rich.” No argument. It’s chic. Guest rooms are described as whimsical, but you’d best like white and checker-board-patterned carpets. Even the beds are white. French designer Philippe Starck used blowups of Vermeer’s 17th-Century “Lacemaker” for headboards. Starck did French President Mitterrand’s bedroom at the Elysee Palace, so who’s to argue?

Baths feature conical-shaped wash basins with live red roses. Other flowers are strewn throughout the hotel. Schrager weeps. Says his floral bill figures to run $250,000 a year. Still, business is rosy. Open only a few weeks, the Paramount is boasting 90% occupancy.

Staffers in the lobby dress tuxedo-casual with T-shirts, substituting for formal shirts. Schrager describes the lobby as resembling “a big living room--a stage” where guests seated on the mezzanine study other guests in the lobby.

In breaking with tradition, Schrager installed a playroom for youngsters. This along with a $1 movie theater with popcorn and penny candy. Coming up next: a supper club in Billy Rose’s old Diamond Horseshoe nightclub. Says Schrager: “We give our guests dreams. We give them magic.” His hero? Walt Disney.

The Paramount, 235 West 46th St., New York 10036. Call (800) 225-7474 or (212) 764-5500.

Lincoln Center: Good news for opera/music/theater buffs. Renovation of the Empire Hotel at Lincoln Center is nearing completion. Four hundred rooms ($145/$205, single/double). The Empire is frequented by artists performing at Lincoln Center. CDs/VCRs in all rooms. Theater packages offered seasonally featuring the Metropolitan Opera, the Philharmonic, the New York City Ballet, etc. Free privileges for guests at a nearby health club. Twenty-four-hour room service.

The Empire Hotel, 44 West 63rd St., New York 10023, (800) 545-7400 or (212) 265-7400.

The Bargain Trail: Rock-bottom rates are offered to New York visitors by the Herald Square Business & Hotel Assn. Good buys for budget travelers. For rates/information, write to the HSB Assn., 28 East 31st St., Suite 1402, New York 10016. To assist out-of-towners, the hotels provide their guests with a tips booklet on New York written by native Manhattanite Bern Marcowitz.

Member hotels:

--Herald Square Hotel, 19 West 31st St., New York 10001, (212) 279-4017. Rates: $65/$75 double.

--Hotel Wolcott, 4 West 31st St., New York 10001, (212) 268-2900. Rates: $50 double.

--Hotel Aberdeen, 17 West 32nd St., New York 10001, (212) 736-1600. Rates: $85 double.

--Hotel Stanford, 43 West 32nd St., New York 10001, (212) 563-1480. Rates: $90 double.

--Hotel Roger Williams, 28 East 31st St., New York 10016, (212) 684-7500. Rates: $60/$65 double.

For information about other inexpensive New York hotels (midtown between 42nd and 59th streets), contact Central Reservation Service at (800) 683-3311. Rates $65/$90.

The B&B; Scene: Inexpensive accommodations in Manhattan are offered by a number of B&B; reservations services. Prices from about $45/$50. For listings in Manhattan, contact:

--Abode Bed & Breakfast, P.O. Box 20022, New York 10028, (800) 835-8880 or (212) 472-2000.

--Urban Adventure, P.O. Box 426, New York 10024, (212) 594-5650.

--City Lights Bed & Breakfast, P.O. Box 20355, Cherokee Station, N.Y. 10028, (212) 737-7049.

--Hosts & Guests & Performing Arts Bed & Breakfast, 223 West 70th St., Apt. No. 1, New York 10023, (212) 874-4308.

A Host in Brooklyn: If you’re taking in Brooklyn, try Liana Paolella’s Bed & Breakfast on the Park, a four-story, 1892 brownstone with rooms facing Prospect Park. Stained-glass windows, antiques, classical/contemporary paintings. Furnishings collected by the owner, who spent her youth in France/Switzerland. This is one of Brooklyn’s landmark buildings.

Bed & Breakfast on the Park, 113 Prospect Park West, Park Slope, Brooklyn, N.Y. 11215, (718) 499-6115. Rates: $90/$135, including Paolella’s breakfasts (crepes, quiche Lorraine , German pancakes, ham, bacon, etc.).

Free Literature: A handy New York guide/map is available from the New York Convention & Visitors Bureau. Lists hotel prices, restaurants (a big help for first-time visitors). The bureau provides free folders on Brooklyn, Queens, Staten Island, the Bronx. Other brochures tell of “20 free things to do in Manhattan.” A calendar of events lists Broadway/off-Broadway theaters, museums, music/dance programs, festivals, parades, children’s activities, sightseeing tours. Additional material: guided tours, boat trips, subway/bus maps. Hundreds of pamphlets. Be sure to specify what particular information you are requesting. In addition, the bureau distributes free cards good for discounts at theater box offices (both Broadway/off-Broadway). Available on a day-to-day, first-come basis.

New York Convention & Visitors Bureau, Two Columbus Circle, New York 10019, (212) 397-8222.

Reader Recommendations

California--Joseph Kanon, Los Angeles: “Cavanagh Inn, 8 Keller St., Petaluma. Located in a quiet neighborhood a few minutes from downtown. Innkeeper Billie Erkel is utterly charming. Our room with a shared bath was $65. Other rates: $55/$75.”

California--Mrs. Phyllis Matthews, Woodland Hills: “A rare find is the newly opened Chaney House, P.O. Box 7852, Tahoe City 95730. A pier on the lake and breakfasts you dream about. Rates: $85/$100.”

California--Arthur V. Kraus, La Mirada: “Casa Soldavini, 531 C St., San Rafael 94901. After using this B&B; for four years, we feel it will score very high with others. Rates: $60/$70. No smoking, no pets.”

Montana--Bonnie Switack, Santa Barbara: “A terrific B&B;, the Sportsman’s High, HC66, P.O. Box 16, West Yellowstone 59758. Beautifully appointed rooms with antiques. A hot tub, pool table, movie room. Saw porcupine, moose, scores of birds, chipmunks, squirrels in the yard. A real find at $50/$65.”

Canada--P. Moldaver, Santa Barbara: Enjoyed Helen’s House B&B;, 1141 Oscar St., Victoria, B.C. V8V 2X3. “Flowers, fruit in every room. Generous breakfast, graceful hostess. Rates: $55/$65.”

Fiji--Linda Goldberg, Sacramento: “A wonderful hideaway in Fiji, Moody’s Namenalala, Namenalala Island, Private Mailbag, Savusavu, Fiji Islands. A 110-acre island with never more than 10 guests. Palm-studded, white-sand beach. Rates: $119 daily per bure (hut), plus $40 per person for three meals/wine. Closed March 15 to May 15.”

Turkey--Kitty and Dick Sparrow, Yorba Linda: “Five of us rented a wooden gulet (Turkish boat) for an unforgettable cruise of Turkey’s shore. Details from Petrum Travel & Yachting Agency, Eski Goraj, No. 8, 48400 Bodrum. Rates: $240/$420 daily.”

Hungary--David W. Lowe, Long Beach: “A thatched farmhouse with beds for nine, all conveniences (shower, stove, refrigerator) for only $40 a night. Write to Dr. Szantos Varga, Rakoczi 17, Pusztaser.”

Germany--Joe and Barbara Arriaga, Moorpark: “In Europe we rented a new condo furnished with all amenities on the Neckar River, with breathtaking views of the mountains of Heidelberg. For rental information, write to Rutherford, Box 1540, Pebble Beach, Calif. 93953.”

We regret that only a select few recommendations can be used. They must be brief (typewritten or printed). Only one recommendation per reader, please. Note: Recommendations will not be used unless prices and addresses are included.