I think "boutique hotel" is a slight overstatement. Our two-room suite was a little dated in decor and frayed around the edges, although quite functional. We requested a baby crib, and had to support one of its broken legs with an ashtray. The A/C cooled down the sitting room, but not the bedroom - at night, we got some mosquito bites because there were no mosquito screens in the windows. Everything was clean, but I felt that the hotel had its prime time moment perhaps 5 years ago, and things had slipped a little since.
The breakfast (included in our room rate) was nice, if not very memorable. The hotel staff were extremely courteous, helpful and spoke English very well. They were very helpful in arranging taxis and always sensitive to our wishes. The hotel is situated near busy thoroughfares, but expect more than 1 km walk to city center (the route near the lake is definitely more pleasant than the westward route, completely clogged with cars).
I *could *stay there again, but would probably first try some other options - newer hotels are constantly being opened in Kaliningrad, and I'm sure some of them feel more "boutique" than this one.
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