We've stayed at the Merchant a couple of times and thought it was pretty good value. But on our last visit, in 2007, $300 was stolen from our room. It was perfectly obvious that hotel staff did it. Several young men from the staff hang out by the elevator on the 3rd floor. Every time you take the elevator down, it stops at the third floor, even if no one is getting on or off. It's clear to me that these staffers are watching to see who leaves the hotel, so they can then rush to their room and pilfer their stuff.
The rceptionist was apologetic. She searched the locker of the woman who cleaned our room, but I'd never thought she was the guilty party in the first place.
If you do go to the Merchant, absolutely, positively leave all valuables in the safe. For my part, it's permanently crossed off my list.
This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC.