The curfew, which would mean tourists would have to return home if they are out, would run from 2am to 7am.
Other towns in the southern region of Andalusia are also reported to be affected.
Tarifa, Conil de la Frontera, Villanueva de Cordoba and Pozoblanco will all face the night time lockdown, local media reports.
Hospitality venues in the region also face new capacity limits on indoor dining and bars.
Travellers arriving in Spain from the UK must provide a negative COVID-19 test or proof of vaccination.
Reports suggest similar measures may be implemented in the Valencia area of south-east Spain from Monday July 26.
The areas could include Benidorm, Alicante, Alfas del Pi, Calpe, Denia, and Teulada-Moraira.
The move follows a similar measure enacted in Catalonia last week.
The Spanish northeastern region of Catalonia has the highest coronavirus incidence rate in the country.
Catalonia imposed a night curfew in 158 cities and towns - including hotspots Barcelona and Lloret de Mar - as infections have soared especially among young people.
The curfew takes places between 1am and 6am.
“The situation is very delicate, extremely fragile ... it is a necessary measure to try to ease the tension suffered by the health system,” Catalonia’s regional head of government Pere Aragones said in a televised address.