we stayed at the Baobab for two weeks including new year and loved it. Very unusual hotel with great facilities. As many people have commented on the hotel I will endorse what they say and concentrate more on the resort of Melonares.
This is quite an up market resort with lots of lovely places to eat, quality shops and a nice place to just wander around.
Close to the hotel is a taxi rank, a bus station, a supermarket and shopping centre.
At night there are quite a few bars (which may also be resteraunts) where you can go just for a drink. Some have live entertainment and one or two stay open quite late. They are all a very short stroll from the hotel.
For a more lively evening Playa del Ingles is only 5 euros in a taxi and they are very plentiful at all times.
Will definately choose this resort again.