This is the second time I've stayed here and I really like it. The neighborhood is really quite nice and there is a great commercial strip a block away with lots of restaurants and small shops.
I've seen reviews for this hotel that complain about the distance to the old city, but really, it's less than 2km. If a 2km walk is a hardship then you probably don't want to visit the Old City anyway because you will have to walk everywhere when you get there; on cobble stones; uphill.
Anyway, I really like this hotel, and the owner is very friendly. There's a great breakfast spot next door that opens early.
One word of warning: if you drive a full size car or SUV you're going to hate the parking.