I stayed at this hotel with my wife while attending a wedding in Phuket Town.
The rooms and beds were comfy and the food was also quite OK.
Both I and my wife felt we got what we paid for and then a little extra ;-)
Only drawback is the traffic in Phuket Town.

I had read such mixed reviews on this hotel I was unsure what to expect so I went with a very open mind and I was pleasantly suprised. We were met by a bell boy who took our suitcases and led us into a simple lobby with reception desk, no fancy decor like many resort hotels but we did get a welcome drink of fruit juice. The staff on reception were friendly and effeicient so we were soon checked in and taken to our rooms. As there four people in our party we had requested rooms close together and this been done as our rooms were next door to each other. I was pleased with the standard of the rooms as many people had said they were tiny and run down. maybe some work as been done but the rooms were spacious and clean with a fridge (stocked with a small selection of drinks), adequate storage, Tv (with some english channels inc films), 2 bottles of water (which was free and replenished every day) and plate of fresh fruit and the bathroom had a little tray of toilettries. The rooms also benfitted from free air conditioning which allowed you to keep the rooms constantly cool. Safes are in reception and also free. Having travelled for more than 24hrs we all slept like babies and this was definately down to the beds which were extreamly comfy. The rooms were cleaned daily and the bedding was also changed every day which you don't always get. Breakfast was not the best. It was buffet style and was hot but it was very much a "full thai" breakfast with things such as fried rice, soups and noodles which is not wrong but certainly not a western style breakfast. There was toast, fruit and eggs and on a couple days we asked for cereals which the staff were happy to get. I am not saying the breakfast was horrible but just limited and repetative unless you wanted a more local style menu. The pool was pretty much like the rest of the hotel, clean but very simple. At the pool you can see that this hotel was probably very popular with tourists once but is definately the most "unloved" part now. The pool had a bar but this was never open and the few sunbeds were damaged to varying degrees although we were able to get four safe and decent ones. The main pool was clean but the small pool which was designed for children I guess was very dirty and scummy so if we had taken children I would not have let them in it. We were clearly the only holiday makers staying as the few times we used the pool we had it to ourselves. There was no atmosphere around the pool and maybe some back ground music would have been nice. You could get towels from reception though so you didn't have to use your own.
The hotel was located about a 10 min walk from the start of the main town. Phuket town is small and quiet with a selection of shops, restaurants, bars and a couple of department stores. Things are quite spread out in the town and is pretty much untouched by tourism although you can hire a tuk-tuk for a few hours and have a little tour round which makes for a nice day. We did this and paid 200bht (about £5) for four people with the trade off being a visit to a jewellary factory so the driver could get his comminsion and petrol money. The busy and tourist area of Patong is a quite a distance. The hotel has a free shuttle bus which is realiable and has three trips into Patong everyday but sadly only one back in the afternoon which was a let down. We took advantage when we could and used the facilities of the two sister hotels in Patong which was nice. We visited Patong several times over the 10 days and used the shuttle bus often and only had to get transport home. We used a tuk-tuk as they were cheaper and you should expect to pay around 500bht (£11 currently) for the journey which takes about 25 mins. As stated the hotel did serve its purpose well and while fundamentally there wasn't anything wrong with the hotel we quickly learnt that it was not designed for holiday makers. The hotel was popular with local people and busy every day with conferences, weddings and graduation ceremonies but little things were missing for a holiday such as a busy, fun pool, entertainment and the main one for me - a balcony. If you are looking for somewhere that is cheaper than the resort towns - we paid £45 per night compared to £160 that the sister hotel in Patong would have cost - and also quieter and a more local atmosphere than this hotel is probably going to suit you. It would also make an ideal stop over place for a night or two if you were visiting differnt areas but for the typical holiday maker spending two weeks who want activities, entertainment and life on the hotel door step then I would recommend stopping in Patong itself.
Overall I a nice friendly local hotel but not perfect for us.

Due to its location (far from beaches in the middle of Phuket town) this hotel offers an opportunity to save some money as hotels and resorts around Kamala, Kharon, Pa Tong etc re much more expensive.

We paid 2000 baht for a twin room which I think was a good a good value for money there. Hotel Is little shabby but there are no major drawbacks: quality of room and beds were good, breakfast included and full, wifi operating. Staff was also welcoming and English speaking.

Location for us was not a problem as we had a car. Actually we were specifically looking for a hotel like this without prior booking.