We really enjoyed this hotel -- the building used to be the home of a nobleman, and was recently renovated as a hotel. The common areas (including six courtyards) are in traditional style, but the rooms are modern inside. Our room had 3 TVs (one in the sitting room, one in the bedroom, and one over the tub -- none in the shower, alas!)
The hotel is located in a hutong, so the streets right next to the hotel are nothing special, but within 5 minutes you can be walking on a busy pedestrian street. (Warning: in Beijing, "pedestrian street" means "not many cars or motorcycles, but they still will try to run you over.") A little further and you can walk around the "Back Lakes", with lots of shops/bars/restaurants.
The staff is friendly and helpful, but most of them don't speak a lot of English. At the time of our visit, they did have one European staff member, an Italian-Finnish woman whose English is excellent.
We were there during a hot spell, and while the air conditioning in our room worked fairly well, it didn't quite keep up with the humidity.
The breakfast buffet is not especially elaborate, but it got the job done.
In summary: our tour guide, who seems to have lots of clients, hadn't seen this hotel before, but remarked that she would certainly recommend it to her guests in the future -- the alternative, presumably, being the modern hotels that don't really have much of a local flavor.
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