I stayed at this place in Jan., 2009 for my first trip to Hawaii. (I am planning another trip to Big islands and Maui for this Xmas and looking for reviews here.) Room was a little small, but considering the cheap price, it is acceptable. They have several great tours. I joined the Mauna Kea and vacano one. Both of them are impressive! Stay Arnott's, you will get a good discount.

So, my opinion,
1) If you enjoy a luxury type hotel, find the resorts at the west side. Hilo is very limited.
2) If you just want to stay at Hilo for a couple of days, so you can enjoy the mountain and the vacano, this place offers you the convenience.

We stayed at Arnott's twice in our visit to the Big Island, both times to see Mauna Kea Summit through the tour they offered. We were there in November 2011, the rainy season in Hilo. Since the tour picks up at 2pm and drops you off at 9pm, we really did not want to be driving at night , in possible showers, to some other island locale. So we got the discount for staying at Arnott's, a great locale guide (Daniel) and when bad weather caught us on top of Mauna Kea (it snowed) and you could see no more than 50 to 100 feet, they gave us a rain check on the tour, hence our second visit to Arnott's (we had to pay for hotel, no rain check on that). But our second Mauna Kea attempt was great with an other-worldly sunset in a sea of clouds below the peak and could see the observatories. Arnott's also does tours to Volcano Park & Akaka Falls (we saw their vans there, but went on our own in those places). Back to Arnott's lodge, as others indicate, they are a fancy hostel, with private rooms with ensuite baths available (about $75-80/night as of late 2011). They had a full kitchen and fridge in a common area and had free wifi which seemed to work. Beds were about what you would get at a motel6, but clean. Rooms had a separate mini-fridge & place to put luggage. Rooms had a bath & shower (no tub). AC window units in each room, but most had windows or a sliding door too, Rooms were navigable for 2 people - would be tight w/3, but they had two-bedroom family units for a higher cost. The location is very close to the water/bay and about 5 min drive to downtown Hilo/shops. Ken's Pancake House is a must for local color & food (they have lunch & dinner too & budget friendly). If you are a foodie try Hilo Bay Cafe in Walmart shopping center (affordable fancy food $10-$30). Farmers market in Hilo had many fruits, veggies & baked goods & flowers. Big Island Candies for chocolates & cookies in same area. The walls are thin - our first visit - no problem, all other people in the house were generally quite and mindful of that fact. Our second visit we shared a wall with a bunch of 20yr old partiers that were drunk. We had to call the desk, but they sent someone over to tell them to quiet down. I cannot fault Arnott's, almost everywhere in Hawaii had paper thin walls so if you get lousy neighbors you will not be happy. For the cost & tour convenience, it was worth it. We did not want to drive and rightly so, on our way back from Mauna Kea we passed a head on collision on saddle road, close to Hilo, in driving rain. Hilo gets 200 to 300 inches of rain/yr so night time driving in all but the driest months would be ill advised. The M.K. trip was $125pp, about $75 lower pp than the other major tour companies. You can rent a Jeep from Harpers & drive up yourself, but if the jeep gets damaged, they will charge your card and not much you can do about it. Most rental car companies now let you drive saddle road to the visitor center, but 4wheel drive is required from visitor center (9000ft) to the peak (13,700ft). No guard rails, no lights, steep grade, possible black ice and snow - so avoid this unless you live in Colorado and are used to navigating similar roads. Other item - see Hawaiian Botanical Garden ($15pp) - not to be missed. Our guide said it was better than World Botanical Garden) built into side of a cliff down to the ocean , north of Hilo on scenic bypass. Would recommend Arnott's to any budget traveler and their tours. If you are expecting Hilton Garden or Embassy Suites this is not it.

Note readers as long as post is displayed. Current reviews are all positive. 6-7 years old suck.

Excellent value for money in Hawaii.

My style: budget dorm or single room shared facilities. I am 69 years old backpacker/"adventurer". Bed $28. Some semiprivate rooms in dorm area $35 for 1 person. Tenting $10.
Dorm: beds single soft enough, clean linen, room cleaned 1-2 times per week.
Washroom:: shared, cleaned/serviced 2x weekly,
Kitchen: shared, fridge, electric stove, cleaned 1-2 times weekly, serviced daily.
Common internet/eating/TV/reading/table area: clean, well serviced. Internet free.
Staff: Helpful, friendly, knowledgeable.
Rental cars: from 3rd party company are half price if available and running.
Other users: Old farts like me, ex-PCVs, young travellers, teenage groups (NOISY!!!!).
Access: safety non-issue, public bus occassional and can reach Kona side. Taxi from airport, or rent-acar.

4 rooms share a kitchen for cooking and living room. staff is friendly. free internet. no tv in the room, but near the office. Firm bed, which I like. About 2 miles from a super market if you need food. Walmart is about 1 1/2 miles away.