Alamitos Bay Yarn Co.: I did not have a good experience here. They are pricey and snooty as well. I am the kind of knitter who is looking for quality in yarn texture as well as color, but that doesn't mean the yarn has to be sparkly, glittery, or some special novelty. Unfortunetly that's almost the only thing they have here. It was fun to go here to see what kinds of new fibers they're making these days. However, it wasn't a place for me to go to buy yarn because it wasn't the kind I was looking for and their prices are too high for my small knitting budget.
Liscat: This is a tiny little store off of 2nd street on Naples Island on the strip mall in between Rite Aid and a Laundry Mat. I've had a better experience with the ambiance here, although some of the patrons have a holier than thou rich person attitude. They have novelty yarns here as well, but they also have some really nice fibers at decent prices. I've used a fingering weight alpaca yarn from this store with excellent results for a medium price. They also do knitting classes here.
Banana Berry: This is an even tiner store on Willow in between Orange and California. It is linked to a chilren's boutique and the yarn store is adjacent. They are friendly here which was really nice. Their selection is really small, but they have a nice mix of novelty and regular yarns at great prices.
Michaels at the Town Center: I've found this Michaels to have a larger selection of yarn than the one in the Lakewood Center Mall. Lots of your regular yarns but also due to the increase of knitters they have an entire section of novelty yarns now which is really great.
My favorite place to get yarn though is through eBay. You simply can't beat the prices! I'm really one that would much prefer to see the yarn and feel its texture before buying it, but the prices on eBay are simply irresistable!
If anyone wants directions to any of the places above from a certain location just let me know. :)