I stayed at the Medina Grand for four nights last week with my family of 6. We had a 3 bedroom apartment, with nice views of downtown Sydney. The accomadations, by Austrailian standards, were very good. We found the staff to be very friendly and helpful. The gym was adequate, and indoor pool was small but nice. Location was good, being a short walk to Darling Harbor and it's attractions, and a doable mile (1.6 kilometer) walk to the Circular Quay/Opera House. Housekeeping was good, and room was clean and spacious. Wifi was only available for a charge in the room, and in the hotel lobbey you could only use once/room for 30 minutes/day at no charge (not good as far as my teens were concerned).
I would recommend staying here as it was one of the better hotels we stayed at in Australia, but by American standards it was a 3 star hotel.