Hotel London was surprisingly good value for the 65 RM we paid for a twin room. It's in walking distance of everything in Sandakan, even the Agnes Keith house, if you're good at hill walking.
Breakfast is included on the roof garden, but it's nothing special, hardly worth the trek up the stairs (no elevator)

Stayed here for 2 nights. We had a room on the 2nd floor facing the back. There was no view as it was overlooking a storage area. The room was clean and attached toilet was clean. The room had tv. I would suggest to get a room on the 3rd floor facing the hill at the back, as it was beautiful with a small garden. There is no elevator, however. We didn't hear any prayers at all from the mosque.

The hotel also has a safe gated parking area for a few cars. The roof top garden is where breakfast is served. Breakfast is self-served, with toast and coffee/tea. There is free wifi throughout the hotel. It is a short walk from the busy downtown streets.

I stayed here for 2 nights after 5 nights on the Kinabatangan river.It is in town with wi-fi and free breakfast.

we stayed at the sandakan hotel for 1 night then went to turtle island, and hadnt booked anywhere for the next night. a couple we had met suggested the london hotel as it was about 15usd a night, compared to the 65 usd at the previous hotel.
the room was fine, its nothing flash for what you pay, we have never stayed in such a cheap place so we were a bit unsure, however we thought it was fine.
the BIG DOWN SIDE is that its right next to the mosque. who have pray ceremonies over loud speakers until around 10 or 11 at night and then again from like 4am onwards. this really didnt help us get any sleep.
so for 1 night id say its fine, but for more than that, maybe try else where.