Hi Smiley,
Brugge - highly recommended - as is Damme and Gent
I work part of the year in Rotterdam and commute by car from the UK, and after work on Friday i usually spend the night in Damme - a town 5 km to the north-east of Brugge.
Brugge is truly beautiful - the food is great and the beer is better. Try to do one of the micro-brewery tours...
Eating on the central square is expensive, it's better value to eat just off the square, or do as many of the locals do - and eat in Damme
If you want a few hotel recommendations - let me know - there are some great value family run hotels - such as:
"De Speye" in Damme - I pay Euro 58 for a modern double room including breakfast
"Het Wilgenhof" between Damme and Brugge - around Euro 75 in a stylishly converted farm house
And I'm trying to think of the name of another farm hotel near Dudzele, this one serves a full cooked breakfast including their own farm eggs and bacon - as a veggie I just have the eggs - and a full-board option with a farm evening meal and they have a regular client