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Not sure where you are seeing this as a 1 star hotel, but if you find one site that rates this 1 star and all the other are 3 star, then you have to go with the consensus that this is more likely a 3 star property. There is no standardized methodology for assigning star levels to hotels, and each company can use their own criteria, but if companies consistently overrate hotels (especially PRICELINE / HOTWIRE where it is a 'blind' booking) then customers would stop using their service, so the star ratings they assign are typically inline with expectations.
With the above noted, star ratings are subjective... you can get a customer who loves a Motel 6 and thinks it deserves much more than a 1 star rating, likewise you can get a customer who is disappointed in a 5 star Ritz Carlton and thinks it should be rated much lower. So i suppose the question for you is 'What do you need from this hotel for this stay and based upon what you have read so far, where do you think it may fall short?"
I'm local to this area and although i have never stayed at this property, and i can tell you that it's very centrally located just off of Times Square, with easy access to 3 different subway stations within 2 blocks away. It's an older hotel, likely a bit dated, and rooms are probably small as is common throughout NYC, but if you just need a clean room for the nite i would expect that it will meet your needs. It wouldn't be my first choice for an extended stay, but then again it comes down to what your needs are and (more importantly) your budget, as you're not likely going to find many Time Square properties for this price at this time of year.
Feel free to ask the board for help before your next trip as we can help you find the best deal based upon your needs, travel plans, and budget... as well as help you avoid disappointment in your purchase. Not sure if you needed to be in this specific area, but there are usually other zones nearby that provide better value and are just as convenient for the average tourist. NYC is one of those places where we typically recommend that users stick with the higher star rated properties and chain properties since they are often newer and/or more recently renovated.
Please remember to return to BetterBidding and use the PRICELINE and HOTWIRE links on the board to begin your travel purchases... or thru our sister site MAPSandHOTELS.com for your regular rate purchases.
Enjoy your time in NYC.