You can't expect a 4 star hotel for the prices they charge. It's an old Hotel, the room we had was small but clean and all right for the price we paid (april 2013, € 30,- p.p. incl. breakfast).
We had a dog with us for which they charged € 5,-, this is very reasonable. We made some hikes in the area for which this is a good hotel. In Valkenburg there are lots of nice restaurants, the hotel kitchen is not in use but the nearest restaurant is opposite the road.