Like many reviews of the Villagio Verde we had mixed feelings about the place.

First of the plus things:

Great setting. Very atmospheric, the lemons and oranges growing over head add a lovely shade and character to the site.
Helpful friendly staff. Family run.
Cabins and grounds were clean, not spotless but adequate.
Plenty of clean towels every day.
Nice area outside each cabin with table, chairs and hammock.
We were self catering but went to the weekly gala meal (we're both vegetarian). The food and service were exceptional.
You're near some nice 'local' shops.

The not so good:

The cabins are small. Not to the point of being cramped but there was only two of us, if there had been four it would have been impossible.
The kitchen is poorly stocked. Very little cutlery. Not much crockery. Two rings, no oven or microwave. We did have a kettle but the flex was too short to reach the socket! You had to balance the kettle on a box.
The noise. A very common complaint but it is noisy. Dogs, scooters and cockerels, you'll hear them all. We stayed in May so it was cool enough to keep the windows closed at night and you could still hear it all. I'm not sure why the hotel gardener needs to drive his 3 wheeler up and down past the cabins at 6 in the morning. Every day!
The location. It isn't awful but if you're not too active or have young children then it's not the place for you. Its only a 15 minute stroll into town and it is a moderately steep hill back but the section nearest the hotel has no pavements and can get very busy, especially when they close the town centre at 7pm.

Other things to note:

There are some strict, but fair, rules for use of the swimming pool. Screaming children will not be tolerated.
The satellite TV in the rooms cost extra (15 euros a week).
Sunbed and deck chair hire is also charged.

In conclusion:

We enjoyed our stay at the Villagio Verde but once was enough. I would recommend it but with reservations. Sorrento itself was lovely and the area charming. I will go back one day but not for a few years.

Like other reviewers, my main complaint about Villagio Verde is the noise - dogs, mopeds, cockrels you name it. It seemed incessant at all hours of the day and night. I came home absolutely wrecked and needing another holiday! The walk up to the hotel is also very steep and a bit scary at night - poorly lit, no foothpats and crazy Italian drivers are a bad combination! We were also let down by the hotel staff who were due to pick us up at the train station but never showed (when I queried what happend I was told that "he must have forgotten"). The charge for the sunbeds is also a total rip off.

On the plus side, the setting is beautiful and the cabins are very spacious. They were also very kind in dropping us back to the train station the morning we were leaving.

Overall though, would not stay here again and would not recommend it.

Like other reviewers, we found some aspects of staying here really excellent, but there were some major downsides too. The family who run the place are exceptionally friendly and helpful, and the layout is like a tropical jungle, with lemons, grapes and bananas growing overhead. this keeps the temperatures bearable without the use of the (supplied) air conditioning.
We stayed in one of the "cabins", and while it was great to be so self-contained, we had serious noise problems at night. As others have said, there is a lot of noise from dogs - or one dog anyhow. We investigated and found that it was a guard dog in the premises next door, which barked regularly and nosily day and night, when disturbed. On the other side - right next door to us - was some sort of rooster, whose watch was broken, as it started crowing at around 3.30 am and kept it up until lunchtime the next day.
Then there's an access road which runs parallel to the site, and which has regular traffic of smelly and noisy 2 stroke scooters and Piaggio vans. All in all, not a place to come for a quiet break!
The cabins were oddly equipped, and we had 2 giant saucepans but no small ones, so I had to make a boiled egg every morning in a teapot! We also had no electric kettle until we asked for one, and made tea the first 2 mornings by running water through a drip coffee maker.
The other big issue is the position. The place is about 500 meters from the centre, but as others have noted, there is a steep hill, used by a lot of traffic, and there is no footpath. The side of the road, where you walk, is potholed and dangerous to walk on. Taxis are available, but the cost of a ride from the centre of town (500 mtrs, remember) is a ridiculous 15 Euro (£11 sterling).
If this all sounds a bit like the blitz, it isn't meant to, because the place is very scenic. Just don't expect everything to be "just so", and don't expect to sleep a lot at night. This is not a place for the elderly or infirm either, if they want to go out.

I had a great time at Villaggio Verde, very friendly staff, and great food