In short
Kandy held out against the Portuguese and the Dutch and only fell in 1815, to the British. Its old town is a World Heritage site.
The Temple of the Tooth holds a relic of the Buddha, the most sacred object in Sinhalese Buddhism. Ceremonies are held there three times a day.
What it really costs
Kandy sits at five hundred metres, which gives a temperate climate and takes air conditioning out of the budget.
The train from Kandy to Ella, through the tea plantations, costs a few euros in second class and ranks among the finest rail journeys in the world.
What nobody tells you
The Ella train is booked thirty days ahead in reserved class, and seats go within hours. Unreserved class is available on the day, standing.
The Temple of the Tooth requires shoulders and knees covered and shoes removed. The relic itself is never shown: you see the reliquary.
The Esala Perahera, in July or August, is the country's largest Buddhist procession. It fills the city and multiplies accommodation prices.