I really liked this hotel, which is why I spent much of my month in Hangzhou here. It wasn't the nicest hotel I stayed in (not even close), but it was a very good value. I got a single for $38 (260RMB), breakfast included. The location was good enough (a bit of a walk to parts of West Lake but taxis are very cheap). The service was excellent across the board (restaurant staff, cleaning crew, front desk). Laundry service was great and much cheaper than most hotels (9RMB for a dress shirt instead of 18RMB at most places). The restaurant food was very good. The Vienna coffee shop, one of the better ones in Hangzhou, is directly across the street.
Having said all of that, this is an older hotel. It is not by any means new and spotless. The second time I checked in, I was given a room that smelled moldy. Without hesitation, however, the front desk staff moved me immediately to the room I had occupied previously. Overall, I always had a pleasant stay here and would highly recommend it for anyone on a budget.

Stayed at this hotel as part of a Wendy Wu tour. It is an OK 3 star hotel - clean and comfortable. The buffet breakfast included was fine. The best thing about this hotel is its location - within walking distance of West Lake. You just go out of the hotel and turn right, at the traffic lights go left and the lake is ahead of you through the park. It makes a lovely walk in the morning - lots of lovely little bridges and paths. You can hire bikes too. We walked there one evening at about 8.15pm and caught the end of a light and music show for free that was going on. It was quite dark but we still felt very safe, however if you have a small torch take it with you.

After having read the only review about this hotel (after having booked) we were a bit concerned. But the hotel is clean and nice. We had two rooms, the room for our son. daughter-in-law and our little granddaughter was equipped with a babybed without extra costs. The staff was friendly and professional and the morning buffet was delicious. The rate was very reasonable, so we would definitely choose this hotel again.
Peter Rasmussen

we took a chance with this hotel since there were no reviews on trip advisor and it was one that our tour operator, China Highlights, booked for us in Hangzhou as part of our 15 day China tour. They considered the Lily a 3 star hotel. Not.

We got a room on the 3rd floor and upon reaching the 3rd floor, we were greeted by a foul smell that i most liken to a men's gym locker room (ie. the scent in a typical 24 Hour Fitness Center gym in the US) or as my GF put it, the room "smelled like a wet sock". Either way, it was pretty foul & very strong, much worse that the smell in an actual locker room. Further down the hall there were what looked like bed sheets covering the carpet. looked like a water leak or something of the sorts. The bathroom looked worn and the showerhead looked all rusted on the inside although the water appeared to come out clean. The 2 twin mattresses were hard as a rock, though that was the 2nd hotel (out of 4 so far) in China that we had rock hard mattresses. There wasn't a flat sheet between the comforter and the bed, which was odd as well (the other hotels had them).

The hotel has seen better days and it shows in the rooms as well. Granted, we didn't expect a 5 star hotel. It appears to cater to large tour groups judging by the number of large tour buses parked in the lot.

To add further to the foul smell, the hotel lobby & our room smelled of a natural gas leak when we got back in the evening. We cranked up the A/C to try and get rid of the smell but it didn't go away & we were beginning to get nauseous from the fumes. I eventually turned off the A/C on a hunch that it was coming from that (though the air from the vent itself didn't smell of natural gas). I guess the A/C unit itself was natural gas powered? Don't know much about A/C units but when we turned it off the smell went away.

We had Chinese lunch in the hotel and it was pretty bad. Good thing we're only spending a night in this hotel & head to Guilin the next day.

About the only redeeming quality this hotel has is that it's a short walk to West Lake, which is beautiful. Walk out the lobby to the right and then you pretty much run into the lake and take a left and stroll along the bank. The hotel also has complimentary high speed internet & provides a ethernet cable.