We stayed two nights before hitting the trail along Tiger Leaping Gorge. It's got a great location in the old town. We were on the second floor but the construction of the building is pretty shoddy. You closed your door and the entire wall shook. Rooms were pretty small. All that being said, it was comfortable, clean and the staff were very nice and helpful And they all had a decent command English. You can't really get a cab into the old part of Lijiang so there are small vans that take your bags to the hotel. We only ate breakfast at the hotel and it was decent. Western and Chinese selection and certainly filling. There are a lot of guest houses in Lijiang so for locals or people living in China, that would be an option. For overseas travelers, it's not a bad choice.

Pleasant clean hotel with lovely grounds. Good location but expect to get lost as soon as you walk out of the compound. Has traditional Chinese style exterior but European rococco style decor in the rooms. Very good staff and breakfast selection. Avoid the rooms on the third floor which require 3 flights of steep stairs to walk up. The altitude will leave you puffed out even if you are fit or take it slowly going up. However there are great views from the balconies up there. Rooms can be noisy.

The hotel is one of the largest inside the old town, and very conveniently located near one of the main streets, such that its very safe and interesting to walk around nearby even in the late evenings. Taxis aren't allowed into the old town but the hotel has a permit to drive a van inside the old town and can offer a lift if you have lugguages to carry. A 15 mins walk will still be required though before you can take a taxi or bus to visit anywhere outside the old town.
The hotel is quite stylish with a traditional Chinese courtyard. The rooms are very small though. The decorations and furnitures all look a bit old, but still reasonably clean and decent. The bathroom is also old but clean.
it just got renovated in 2007 and thus looks much nicer and newer.