We stayed here for a few days during National Holiday in October 2011. The hotel rooms are very pretty, with painted ceilings and Tibetan style furniture. However, it is FREEZING at night. There is no heat. Once we got under the blankets, we stayed there until morning. The bathroom is a bit dingy, but the hot water supply is good. The restaurant is good and filling, with a decent menu, and they'll pack a lunch for you to take on day trips.
The hotel staff will arrange everything for you. We took a day trip to the grasslands and some monasteries through them. They introduced us to an English speaking guide, who led us around the big monastery in town (absolutely worth it, pretty much the reason for being in Xiahe). They helped us buy plane tickets for our flight to Chengdu and arranged a driver to take us to the Lanzhou airport, several hours away.
Overall, a worthwhile experience. Just try to go when it's not so cold.
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