Stayed at the Sudu Araliya in April 2005 and regretted every minute. This was by far the worst hotel we've stayed in in Sri Lanka. It is unfortunately one of the "best" in Polonnaruwa - but there are nice hotels in Giritale and Sigirya Areas so if possible stay in that area and drive in. Of course if you do that, go early - your tourist pass is only valid for the day issued (which they will not inform you of even if you buy it at 4 pm).
This hotel exemplifies the attitude of they want your money but would like not to do anything in return.
Our hotel room was literally full of hundreds of mosquitoes who were probably looking forward to feasting on us. In addition to being a nuisance, in Sri Lanka many diseases are spread by mosquitoes, including Malaria. We told the front desk and they told us to wait and a long time later told us it's ok now. We went back up to discover that they had sprayed the room with stinky bug spray and the bed, furniture, floors were literally covered with the dead mosquitoes! Cleaning the mess up obviously was not an issue for them. Plus the window didn't close properly so I am sure we would have had the same problem later. So I went and complained again. This time I was told that they didn't have any of the better rooms available but whatever, I didn't care as long as it was clean and free from mosquitoes. They gave us another room - the window wouldn't close and the light bulb was blown. And they wouldn't change the light bulb. I actually saw the service staff hiding around the corner, peeking at me and giggling. How funny. Finally I insisted on speaking to the manager and this time surprise surprise one of the better rooms like what I had paid for was available and we were moved into that. Of course after dinner (which was not bad except for the sambol that was spoilt that they still served us - sniff all food and if it smells bad it probably is - the heat makes a lot of our coconut based cuisine spoil rapidly) we went to our room and tried to get some sleep. They kept turning off the air conditioner from the mains throughout the night. And you can imagine the heat we felt in a room with no ventilation. I am ethnically Sri Lankan and can cope with the heat but this was terrible - one of the worst nights I have ever experienced - and the sad thing is I even paid for it! I would wake up, turn it back on and try to sleep only for those people to turn it off again within the hour. Finally I just gave up and staggered from that place as soon as morning arrived.
This place is not cheap either and the pool is not clean. Stay away - there are lots more options that actually provide value for money.
