Vaavu is a small atoll, southeast of the capital, and one of the least developed in terms of resort count — which is exactly why it's kept a strong reputation in the diving community specifically, rather than as a general resort destination.
Fotteyo Kandu
The atoll's best-known site is Fotteyo Kandu, a channel dive cutting through coral formations and swim-throughs, often visited by day-boats and liveaboards passing through rather than resorts based directly in the atoll — see our diving & snorkelling guide for how channel dives like this compare to house-reef diving.
What's there
Cinnamon Velifushi Maldives (see our Cinnamon Velifushi profile) is the atoll's own resort — a reasonable base for divers who'd rather sleep close to Fotteyo Kandu than visit it purely as a day-trip from a neighbouring atoll.
Why it stays quiet
With only the one resort, Vaavu is still more often experienced as a dive-trip destination from a neighbouring atoll than as a place most visitors base a full stay — worth knowing either way you're planning to visit.