The hotel has been chosen by my tour operator and it is located perhaps 15-20 min walk from Zocalo. Get a map from the hotel staff.
Saturday night one of the buildings on the property is rented out to the locals and serves as a club with loud music blasting till early in the morning. One can hear the festivities behind closed doors and windows in your room.
While walking in the town one realizes how many other hotel options there are, closer to the center, that perhaps are more cost efficient. The town itself is very lovely, make sure you take trips to Mitla and Mt Alban. Price of the taxi from the hotel to the airport is around US$13 or so.
Visit local museums, they are interesting. One can get a huge cup of best quality hot chocolate at the local market for very cheap.

A reasonably pleasant hotel (although very motel like) with large rooms and bathrooms It's main drawback is its distance from the centre involving a long walk or a taxi. Both days we stayed the towels were removed but not replaced and we had to request them on our return. Breakfast service very good and free internet available.

We've stayed here twice and plan to go again. The hotel is outside the center of town, about ten blocks to the zocola and near the city park. It's away from the noise, bus traffic and dust. The grounds are spacious & tree-covered. The rooms are large but plain, with little balconies on the upper floor of the motel-like main building. There's plenty of room to spread out. The beds are very comfortable. The staff is very helpful, although the front desk appears confused at times. Everyone raves about the restaurant and the morning buffet. It's popular with locals and many meet there for business. Luncheons and dinner are OK but most tourists eat in town.

Taxis are readily available if you don't want to walk and are available for day trips, although English -speaking drivers are scarce. We engaged one driver for all of our birding trips up into the mountains and to visit nearby towns. He invited us to his grandsons's birthday party. At Christmas we were invited by one of the staff to participate in the posada in his neighborhood. In general people couldn't be nicer.

Fourteen of us stayed at Mision de Los Angeles during Christmas 2008. The pros -- lovely outdoor spaces for the kids to run around, play tennis, relax. Wonderful breakfast buffet -- quite extensive and great variety over the 5 days we were there. The pastries at breakfast were the best I have had in my 27 years of traveling all over mexico. The hot chocolate too was wonderful especially when made with water (more intense chocolate flavor). The rooms were very clean and there was plenty of hot water. Waiters, cleaning staff were all very pleasant and bent over backwards to be helpful. Rooms were quiet. The cons -- a bit of a long walk from town. Beds are hard as rocks. Rooms lack charm and are outdated. Front desk staff were not at all accomodating. Making straigtforward reservations was difficult and unfortunately I must say typically Mexican (I am married to a Mexican and he would agree). If I were traveling with a large group including so many kids again, I would stay here -- for the wonderful outdoor spaces and the incredible breakfasts. If I return to Oaxaca with just my husband and 3 kids I would much prefer a hotel in town that has more of a Mexican flavor and charming Mexican touches.