Stayed here back in September after having travelled through from Kota Kinabalu and staying in the jungle near kinabatangan river.
Sandakan itself doesn't have much going on, it's a pretty grimy place with a few interesting places to visit. I'd recommend the Agnes Keith tea house, we also took a day trip out to Labuk Bay proboscis monkey sanctuary which was the highlight of our stay in sandakan (the only place in Borneo we really got to see them close up) we stayed for 2 nights (3 full days) which was more than enough.
The hotel itself was clean and the bed was comfortable, it was basic in comparison to what you find in any European city for example, but it was a welcome luxury compared to the river water saucepan showers and open huts we had just experienced in the jungle. The shower was possibly the best I'd had in Borneo.
The hotel weren't able to provide maps of how to get around which I found odd, and when trying to find the shuttle bus to take us to Labuk bay, they had no clue where we could pick it up. We managed to find details online - it's outside hotel sandakan at 9:30 each day. Check the website for returns etc.
The wifi was good, but was only available in the lobby and at the rooftop restaurant. The rooftop restaurant is lovely, very pretty and a bit of an oasis. The food is excellent, although it's definitely more European than authentic Malay. Great cocktails too! The breakfast was small, pancakes or croissants were our options and we were only given a voucher for one days breakfast (we stayed for 2 nights).
When leaving the hotel, I stupidly left my mobile phone in the room whilst in a hurry for the airport. I contacted the hotel when I got to the airport and they were absolutely amazing in organising it to be returned. Alice prepared all the documentaction for the courier and within a few weeks I had all my precious photos back.