We stayed here for 5 nights and loved it. Papy made us feel very welcome, safe and relaxed in the Riad. It is a very pretty place, in a typical riad style of the tall house with a central courtyard, which stayed pleasantly cool during the day. Breakfast was served whenever we left our room and while being basic, was a very welcome change to the meat or couscous based foods eaten in the rest of the day.
The rooms were nice, a little dark although this only added to the Moroccan feel. The bath/shower seemed to try and have hot water, although in truth it was always fairly cold. The air conditioning in the room was a lifesaver on a night and for respite during the day.
Papy gave us a map, with directions of how to get into the centre and advised us on taxi prices (knowing a reasonably price makes bargaining a lot easier). Walking to the centre takes around 20-30 minutes, depending on how leisurely you are and how many motorcycles try and run you over! We found that it was best to leave for dinner around 10 minutes after the call to evening prayer, when the streets were much quieter.
The riad is a little hard to find, especially at night. Try and avoid the kids giving you directions (this can be pricey!) and continue on until you reach an entrance to a mosque, with a small washing fountain ahead. The entrance is a large door on the right (keep checking behind) with a small sign. Your taxi will drop you off a couple of hundred metres short of the riad so you will need to walk.
The mosque is very loud, and will wake you up early on a morning for 10 minutes (I don't understand what other reviews are doing to not notice it after a few days!). Annoying, but I suppose part of living in the medina of Marrakech for a few days so best just to go with it!
Definitely recommended for a budget traveler.