There are several of these in Downtown Victoria. Most of them are along Douglas. The rooms are nice, clean and not overly small. Lats time I stayed it was $29cad for 1 person during the week. It has since gone up to $49. You can still find cupons on the ferries and at various other locations that bring it down to $39. The service is not bad and the privacy is fantastic. You can find cupons on the ferry to and from Vancouver.
Close to downtown, all shopping and all transportation.