We stayed for three nights with our three year old daughter after booking online. As everyone else has said, the location can't be bettered if you're looking for something central as you're able to stroll to Circular Quay in less than five minutes. Room was a good size, with a view of the harbour bridge, but bathroom was disappointing and a bit tired looking and in need of an upgrade. We were on the top floor (8th) and just along from the fabulous outdoor rooftop pool and spa - a must to check out of you stay here, if only for the view over the harbour. Staff were fantastic, and it's hard to fault anything else about the hotel.

We arrived at the Old Sydney Holiday Inn after a 20 hour flight from London, we actually arrived into Sydney at 05.30am and headed straight to the hotel. When we arrived we were extremley happy with the location as we were only a stones throw away from the Bridge and Opera House. As it was really early and most hotels don't let you check in until atleast 2pm onwards we were only expecting to drop off our bags and then head to the sights of Sydney, but we were really surprised when we were told our room was ready. We thought the rooms were a nice size and everything was nice and modern, the hotel swimming pool is on the roof so we headed up there to check it out, if you like to swim then this hotel isn't for you as the pool is very very small it looks small on the pictures but in real life it's alot smaller, but the views are amazing and that made up for it.
We didn't eat in the hotel so we can't comment on that
At the weekends outside the hotel to the left they have a very good market and it's worth having a look around
The only downside to this hotel is that it gets extremley noisey especially from the Irish bar down the road, we could hear all the music and noise but as we were only there for 2 nights we decided just to put up with it and it really didn't effect our stay

Enjoy

Stayed for 2 nights 22/23 April. We booked 2 nights through Wotif at $199 per night - 2 double beds plus breakfast, on 6th Floor. Best location especially for tourists new to Sydney.
Direct access to Circular Quay, by train or shuttle, from International and Domestic airports.
Just a couple of problems with restaurant, fixed by keen management, initially let down by inexperienced staff. Minor hiccups overall.
Very clean, very comfortable, very good location, excellent breakfast - what more do you need!

Very expensive but as a one off it was certainly worth it. The view from the roof really is amazing and if two 15yr olds can be impressed it must be good ! The location is incredible, sightseeing bus stops right outside the door, 5min walk to circular quay and ferries to Manly etc. We were really sorry to leave. The room had 2 double beds and views over the city. We arrived early approx 9am we didn't expect the room to ready but were give access to the roof and pool area it really was wonderful to sit there in the fresh air after a long flight from the UK with the views of the Opera House and Harbour Bridge 'just there' in front of you. We were able to use our room at 12.00, it was very comfortable clean just what we had expected, we were not disapponted.