One thing for sure is that there are a lot of hotel rooms on Fort Myers Beach. With such a large supply it's no surprise that you can find a price for almost any budget. This is not a snooty gated-community of exlusive high rises (at least not on most of the island). Regular folks can afford to vacation here. Below I'll give you an idea of what's available.
The Diamond Head Beach Resort is a landmark property on Estero Island and is located a short distance south of the Pelican Pier. It is a high-rise, 124 room hotel and puts you close to the action of Times Square, but not right in the middle of it.
The Outrigger Beach Resort is one of the best deals on Fort Myers Beach. It's toward the south end of the island and has a super-wide beach. It is not a high-rise. Has a pool and tiki-bar.
Another great deal at the south end of the island is the Holiday Inn Fort Myers Beach. It has a great outdoor grille and a very wide beach. It is not a high-rise hotel. The south end of the island is much quieter than the north end.
The Neptune is a lower-priced low-level motel style beachfront accommodation that is just far enough from time square to escape the congestion, but close enough to be within walking distance.
The GullWing Resort is a more luxurious modern high-rise on the quiet southern end of Fort Myers Beach. What a view!
The Pink Shell Resort is the landmark property north of the Pelican Pier. It's a large hotel, it's right on the beach, and it's convenient to everything.
If you came to party, if you want to be right in the middle of the action and on the beach, and if you are on a budget, check out The Beacon Beachfront Bed & Breakfast.
If you're up for some beach camping, try the Red Coconut RV Resort. It's directly on the beach. It might be disappointing for hard-core campers though because it's mainly an RV park on the beach. I think they allow tents, but I'm not sure how I'd like setting up a tent next to an RV that's running its A/C all night.
If you'd rather find a place off the beach, maybe even a block or two from the beach, Ft. Myers Beach has got you covered in that area. Old-Florida style hotels/motels and rental houses are available, like the one pictured below that's located near the Times Square area and the bridge.