Sarah - the place right next door (immediately north of WSC) is Cocotal Inn and Cabanas. I stayed there on my honeymoon, this past September / October in the beachfront cabana. Extremely nice accommodations, extremely nice owner, and extremely nice on-site management. It's a very small property, with no bar or restaurant, but when I was there, they would make you a great homemade meal for $10US/person. They even cooked up the fish that we caught on our fishing trip for us for free. It's a great little place, and if anyone stops by there, tell Beaulah that Charlie and Beth say hi, and thanks for helping arrange our renewal of our vows.
We originally were booked at WSC, but a very similar thing happened to us. 5 weeks before we were scheduled to arrive, we were informed by Marilyn that they had to close the resort, and would not be able to honor our reservations, due to a 'family emergency'. We never ended up finding out what happened (not that it matters), but our money was refunded in full, and Marilyn was very apologetic about it, and almost sounded defeated. Maybe this dispute between ownership and management has been going on for quite some time....