The seaside town of Margate has been named as one of the top 10 must-see destinations in the world. The coastal spot in Kent has been ranked seventh in the annual Rough Guide Travel Hotlist for 2013. It features alongside Dresden in Germany, Valparaíso in Chile and Košice in Slovakia as one of the guide's top picks for next year.

Rough Guides web editor Tim Chester described Margate as a "gem", adding: "From the Turner Contemporary gallery to the proliferation of other indie art spaces, vintage shops and cute cafes in the Old Town, Margate now offers much more than its golden sands and dilapidated seaside charm."

Kent county council has invested heavily in the town over the last few years in a bid to revitalise its run down image, which has included building a £17.5m art gallery.

Margate was the only British destination to feature on the list.

Other locations included north Cyprus, Stockholm in Sweden, Dubrovnik in Croatia, north-east Iceland, Puerto Rico and the Nowhere festival in Spain.

• This article was amended on 14 December 2012 because the original said Thanet district council had invested heavily in Margate. This has been corrected to say Kent county council.