Bhaktapur also named Bhadgaon (old name) or Khwopa (Newari name) is one of the best preserved medieval city-states in the Katmandu Valley, and also a great destination to escape Kathmandu craziness by bike, taxi, bus or minibus.
Located on the old trade route from India to Tibet, many of the city's most iconic buildings date from the rule of King Yaksha Malla (1428-82). The city suffered major damages during the 1934 earthquake but locals were able to restore an important part of it, and the 1500 NPR tourists entry fee is supposed to go into protecting and maintaining the temples. I also find out the Bhaktapur's streets were paved and restored in the 1970's by the Germanfounded Bhaktapur Development Project, which also established proper sewage and waste-water management facilities.
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