You go right next to the Hotel area entrance so your not on the beach, but still in the hotel place, and you use the dowsing machine. You do not go inside the building and use it, you go right outside the building, but not on the beach.
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first you need the dowsing machine and then outside by the reception you will find the suite key
Yes she does. If you find it (use Dowsing Machine) she will give you a White Flute. Only in Platinum though.
Its behind the bush near the one guy with the hat.
you get the white flute by findering the suite key at the valor lakefront
suite key is in