As a couple we stayed here 1 night in Jan 2012. The room was very basic but very clean. The lobby is nicely decorated and the reception staff are very helpful with very good English. The continental breakfast (7-10am) was of a high standard and included in the room rate. This is the cheapest hotel we could find in Muscat, but it did not feel like the cheapest hotel in Muscat. It was a decent, clean, quiet place near Ruwi and easily accessible to Old Muscat, south to the nearest beach was only 20mins or so. We are cheap travellers (but not mega-cheap) so there is no boutique stuff for us, and we were very comfortable here. The Thurs/Fri market is across the road also. There's a lift too, so no lugging your bag up 4 flights of stairs.
The hotel has an in-house car hire company which gave us a guest rate of 10Rial / day on a saloon car (normally 12Rial).
Overall very happy with our stay.
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