We've been here four or five times over the past six years, and we always enjoy our stay. The location is very pretty and forested--the cabins aren't too close to each other, so they have a nice private feel. There is a narrow, steep drive to get up to the office and cabins, but keep in mind you ARE on a mountain! We've stayed in most of the cabins, and liked them all; this time, we were in the White Pines cabin, which is one of my favorites. Very reasonably priced for how much space you have, and the full kitchen, with full-sized appliances, is really convenient. The cabin has a nice wraparound deck with plenty of seating, a grill (charcoal), and the hot tub. I suppose the cabins are showing their age somewhat--in this one, the lights on the hot tub didn't work and one of the stove burners didn't work. Note, though, that these things seemed pretty minor, so we didn't bother talking to the owners, who we've always found to be very friendly, to try to get them fixed. The furniture is rather old, but it's not bad. My husband and I both slept pretty well. I loved being able to keep a fire going in the fireplace--it didn't smoke, and relaxing by the fire in the evenings was great. There was plenty of free firewood provided. Even in this "small" cabin, you get a bath and a half, so no jockeying for bathroom space, and we didn't have any problem with hot water or water pressure in the shower.
I really enjoy staying in Townsend--it's a quick trip into the park, and the Cades Cove loop road (very busy in the fall) is easy to get to. If you want to go into Pigeon Forge (we always stop at the Old Mill restaurant and store) and/or Gatlinburg, they're only about half an hour away. You can also get into the two towns via the park road, although that way takes a bit longer. There's a decent-sized grocery store in town, plus plenty of cute shops and some decent restaurants. If you're into tubing (we haven't tried it ourselves), there are several places in town catering to that as well.
Overall, I'd recommend Top of Townsend--we'll definitely continue to go there!