I've just returned from Brunei and stayed at the K.H.Soon RestHouse. Great location though but I would recommend staying near Gadong so traveling after 6pm would not be a problem. Buses are very convenient for traveling around the city and cheap but they stop service at 6pm. Caps are very expensive.
K.H.Soon RestHouse is the worst accommodation I've ever experienced. Very disappointed because the rooms are not even clean which is the most important thing for a budgeted accommodation. Room and bedsheet smelled and humid, water leaked from the toilet to the room...Chinese prostitutes staying in the resthouse which is the most disgusting thing for me.
I will not recommend anybody to stay there.