We wanted to stay in the historic centre of Quito for ease of access to the sights, and the ambience, and, having looked at the various options, this hotel was really our only candidate. We were delighted with it, though: it's full of charm, fantastically close to the centre (c 100 metres from the Plaza Grande), and offers great service. The staff are very friendly and helpful (although occasionally Reception can be smile-free), and it has everything you need during your stay, including wifi throughout, or a PC and printer in a quiet area in case of need, and a good restaurant serving substantial breakfasts and good Ecuadorian dinners if you're nervous about heading into the centre after dark or just fancy a night in.
We stayed in two different rooms, at the beginning and end of our Galapagos trip: 107 (a standard room), which had no external window but lots of light from the second of the hotel's courtyards, and 204 (a suite), which had a lounge downstairs, and a bedroom and bathroom in a mezzanine above. On balance, we preferred room 107, as it had more circulation space where it mattered, and the bed was very comfortable (and wide - it was made up with three pillows in a row...); the bed in room 204 was atrocious (very creaky and unsteady).
Each room has a safe, and there's a good laundry service. You can leave bags with the hotel between stays, and there's always someone around to assist with taxis, early check-outs, etc.
We had to run some errands in the Mariscal district during our stay, and that just reinforced that we'd made the right decision staying in the older part of the city. We found the historic centre to be safe, attractive, and full of things to do/places to eat. A great trip.