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All-around highly recommended
Loved the place--even the staff was really courteous in a city not really well known for hospitality. Typical (i.e. gorgeous) Prague architecture, though I don't know what the style is called. Very helpful concierge/manager/help desk staff knows the city and will provide tips, hints, etc. whenever you ask. The room we stayed in was on the top floor (no elevator here, though we didn't care at all since, after all, we were in Prague!), and I gathered it was some sort of special suite. This was on German Unification Day (weekend) of 2002, I think. We booked the room through a travel agent right in the main train station for about USD 100--I'm totally sure you can get a better deal for a "regular" room. Ours hat three separate rooms (2 of them bedrooms), a huge bathroom (no shower; tub only), vaulted ceilings, and a small kitchen. For 100 bucks, that's a heck of a deal if you ask me. Great location just a few hundred yards to the West of the Charles Bridge, near (obviously) Waldstein Castle. I'd highly recommend this place for many reasons, unless it's dramatically increased in price (and then it's still a great place).
Unique Quality: The breakfast was amazing, and I'm not a breakfast kinda guy. Meats, cheeses (really good ones), eggs, great coffee, and very attentive staff. Buffet style, as I remember it. It's in an underground room, so common in Prague (check the web for why it's so common there--great story). But that's one of many great things about the place--just all around amazing.
Directions: West of the Vltava, near the Charles Bridge and Waldstein Castle
We only stayed one evening but were welcomed by the staff into this quaint hotel. This has a great location just below the palace and above the Charles Bridge- easy walking distance to both. Owned by the same family for many years, the service and breakfast was probably one of the best of our trip.
Unique Quality: The breakfast room is located downstairs and feels like (probably was) an old wine cellar complete with a well. The bed was large and comfy - and located on the first floor which made it very easy for my Mother.
Directions: Near the Terrace Gardens and below the Palace.
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