I stayed here for 3 nights in April 2014. The huts were comfortable and the staff were friendly and did their best to speak English. The mountain setting was very dramatic. Although you generally need to book a car to move around the walking trails, you can walk down to 'Swallow Grotto' (see photo), which is near the hotel. It takes about 1 hour to get there from Hualien train station.
Large amounts of food were served for dinner, including BBQ Pork. Afterwards, there was an enthusiastic cultural performance (see photo), hotel staff are locals descended from the Aboriginal people ruled the area before the Japanese moved through there in the 1920's.