I stayed there February 26-28, 2007. I was really dissatisfied. While the staff was pleasant, they had repeated problems with my bill. It took over 3 1/2 days (when my stay was only 2 nights) to get my bill right. (If you book online, print out a copy of your rate and bring it; you'll need it.) My telephone didn't work in my room. The radiator in my room hissed like a boiling tea kettle for 15 minutes of every hour. I called the front desk to complain. The response, "It's an old building. It does that." That was unacceptable - every hour I was woken up by this really loud hissing sound.
The decor was terrible - a brown/taupe (very unclean feeling, but I didn't see any bugs) bedroom with a pink-sea foam green bathroom. The molding was rotting in the bathroom, the blow-dryer only worked intermittently, the shower was terrible (one of the bathroom fixtures was broken and the spray was terrible), and the bathroom smelled like a tray of mold.
The housekeeping service was poor. I had to pick up a piece of jewelry that fell under the bed, and I found about 6 pieces of trash from before my time. They were Kleenex, bottle-tops, etc.
Also, if you're interested, their "free cappuccino" service is only available from 11 am to 11 pm. To me, that's useless. I had planned on having it at 7 am. Note that no room service is available, and no complimentary breakfast exists. Based on their advertising, I thought the wireless internet was free. It's not. It's $9.95 per day.
While I realize that the place is relatively cheap ($134, including tax, per night), I wish I had forked out about $70 more per night and stayed at a place that didn't have a hissing radiator and a funky (in a bad way) decor. I have determined that $70 drastically changes your New York experience. I felt like I was staying in a shoddy hostel-like place in a second or third-world country, not a supposedly nice-ish place in Manhattan.