My husband and I stayed 4 nights at the Cabana Hotel.
The location is perfect. Enough said on that already. The location and views from the room and hotel deserve a 5 star rating. The pool a 3.5--beautiful pool but the water turned my husbands white swimming shorts yellow of all colors :) The food a 4. The room itself a 2.5 rating. I want to say first, we had a wonderful time on Phi Phi and didn't have a bad time at all staying at this hotel even if the room was "lacking" and the little things--we tend to make the best no matter where we stay and still loved Phi Phi. Most of the staff didn't go out of their way to be friendly, but also still were of help when we did need them.
The grounds are nice; the views are wonderful. We stayed on the 4th floor in Room 4304 (highest floor) and the view is breathtaking. The room itself though leaves much to be desired... It is a small size with older antique green color furnishings. It looks like they are trying to remodel the rooms and bathrooms in particular, but not quite finished with the remodel and what is remodeled shows to be a bit sloppy. The bathroom contained some granite on the walls and sink area but very old dingy green tile on the shower floor (with dirty grout). We used sandals in the shower to take a shower as it "felt" dirty when looking at it (sand left over from previous guests and the dirty grout). My husband thought the closet smelled like pee, but we didn't use it except for the safe that was in it. Hotel shampoo was herbal essence and conditioner was pert plus--or at least that is what I gathered from the smell :)
Sheets and pillows were clean, and other in-room things seemed clean enough. Mattress had an "older" feel to it (that sagging-feel you get when laying on an old mattress), but was comfortable enough to sleep well.
Again, we loved the location, so if you can find it worth paying extra for an suite (maybe these are better remodeled?) this hotel may be a much better place to stay. I would try a different hotel if we are able to visit Phi Phi again, but at the same time, I think the area is great for first-timers to be near the downtown area and boats. ...So I am torn--amazing view but not a great room.