We arrived at this hotel very tired after an extremely early train (3am) and a lot of walking up to Vultures Peak. It looked ok from the outside, was well located and to be honest, we just wanted a shower. The guy on the desk quoted a price that was basically double what I usually pay, but since Rajgir is such a small pokey place almost entirely aimed at ripping off tourists, and because we were tired and also my travelling partner was my mother (coming on Buddhist pilgrimage), I thought I would allow a little luxury - especially since it was just one night and we had a few days of overnight trains to come.
Anyway, got to the room and I was pretty annoyed. Nice size, but definitely not a Rs.2500 room. Still, my mother was desperate to shower and rest so we settled in. Gradually found out how grubby it was - not disgustingly dirty but not properly clean. Not only was there no hot water, but there was also barely any cold water. In fact, if you flushed the loo then the tap would not work for 10 minutes or so. We had to ask for bed sheets several times. The staff ranged between clueless and silent or irritatingly pushy ("Are you having dinner?" "Did you order lunch?", etc. every five minutes). We also had a lot of powercuts, which is not unusual and didn't bother me, but I just want to warn people that this is not the kind of hotel that copes easily with such things and you will be left for 5 minutes or so without power every now and then.
Since we were only staying one night, and I am used to staying in budget hostels and so on, we were lazy and decided to stick it out. But, I wouldn't recommend it to others. It wouldn't be so bad if it was just Rs750-1000 or something, but the price they are charging is laughable. You feel insulted that they provide the kind of service they do, and then charge so much. I should note that we saw no other guests when we stayed.
Actually, I would advise people to arrive in Rajgir early in the morning (5am or something like it), do your sight seeing and so on and leave in the late afternoon/evening. It's a shame, because the landscape is beautiful and it seems like it should be a nice place to spend a few days. But sadly the whole town is just obssessed with making money off tourists. You can't even get some space to quietly do pooja or have some peaceful reflection at the top of vultures peak, because all the touts are busy trying to sell you rubbish. Complete lack of respect for visting Buddhists, for whom this place means a lot. We didn't visit at a peak tourist time, so perhaps that's why, but there is little sign of active Buddhist organisations here which is a real shame.
On the practical side, in most places around the town, even a chai is Rs.5 (it is Rs.2-3 in my town) and they add Rs.5 to every cold drink ("fridge charge"). Even worse, in the bit of town nearest to the hill, most of the food stalls go in the evening, even the chaat wale, so you are left with just hotel food or (thank god) a few litti chokha places.
Sorry for the digression, but I feel that people may want to know about the place they are visiting too. Anyway, if you want to stay a few nights, please look for a better hotel than this one. There are a few Bihar Tourism hotels dotted around, so try them instead. They are bound to be cheaper and would be hard pressed to be in worse condition.