Stayed here in high season, Dec 16-18, 2011. New resort, post tsunami. There are two Nang Thongs, and we stayed at "NangThong2" which is south of "1" and I think a bit smaller. The rumor I heard is that 2 is smaller, intended to be more laid back, and is managed by the family that owns the lands in the area. We paid $182 for three nights, a real bargain for new construction, tastefully appointed, with a pool and nice beach access. The restaurant seemed a bit overpriced, but for the beach side location it is hard to complain. The front line staff were super helpful and attentive. No fitness facility but the beach is a very nice place to jog. It appears that north is the only way to jog from here as right after the resort to the south are huge rock croppings along the coast. It is about a 15 minute walk from the main drag "Petchkasem Road" via Soi Nang Thong Road, and it is a pleasant and interesting walk with lots of engaging shop owners hawking their wares, but in a low key Thai friendly way. We didn't always buy stuff, but we always had pleasant chats with people. This hotel is simply a great bargain for what you get, and located in an area in which you can get everything else you need very reasonably.

We stayed at Nang Thong Bay Resort 1 for 11 nights in late November, we had a beach front bungalow.
Nang Thong is a lovely beach and the resort is a terrific place to stay and we thought good value for money even paying high season prices. If you can afford it, we would recommend the beach front bungalow above the cheaper rooms.
The room itself is nothing special you don't come here to spend time in your room. The room is is clean and is cleaned everyday. The sounds of the ocean crashing on the beach at night is wonderful as is the outlook during the day.
The restaurant serves good food and while the prices are higher than what you pay in town, the view and ambience is great.
All the staff are happy to help. Sure, the language barrier makes communication a bit hard at times but this is Thailand. We couldn't fault the staff in anyway.
Khao Lak is very much a European holiday destination. Lots of Germans and Swedes. There seems to be a culture of getting up early and putting towels on favourite loungers. We saw people get upset and even move towels if "their" lounger had been claimed by somebody else. This was never an issue for us but I could see how it would be problem is the height of the season.
We like to try different places and will head for Koh Samui later this year but if we were going to Khao Lak we would head back to this resort.

I'd read somewhere that Khao Lak is not for the midrange traveller. That's not true, because of at least this place. Beach bungalows for 3000 thb, nice spacy rooms for 2000 thb. Clean, nice and well situated. The restaurant is uninteresting though.

Resort was very clean, well maintained, and Staff helpfull and attentive.. Beach front rooms are worth the extra money Beds are really hard like many asian resorts. This is the quite season and very few tourists, Never more than 6-8 in the pool and always chairs available. Possible the nicest beach in that imediate area. Attractive tropical surroundings. 700m walk to main street which at this time of the year is almost deserted. Shops carry out maintenance these months. As most dive shops are closed during this period due to closure of the off shore islands the whole Khao Lak area is almost deserted. Not an expensive area to live in or eat at. Great selection of resturants in town. Town need tourist money at this time. Hotel charged 1300b for return trip whereas Agent charged 1500b for transfer airport to hotel.