Initially I thought the hotel was too far away from the town centre, bar and attractions however as we settled into the hotel it was perfect. We had the ground floor of a shared villa with its own pool. The kitchen area was a little tired but nevertheless fit for purpose. The villa had its own lounge area, large bedroom with an ensuite. We chose not to hire a car as were island hopping and this was our second island of 5. We took a 10 min walk to the nearby seafront which offered a great choice of bars and restaurants. The local bus service is cheap as chips with a trip to Naxos town centre 2 euros. The bus stops outside the Naxos Palace Hotel (which is next door) make sure you buy a ticket before you board the bus as they don't sell them on the bus. You can buy them from the reception at the Naxos Palace Hotel. A day spent at Naxos town centre was more than sufficient.
We really enjoyed the half day trip from Naxos town centre to the middle of the island. (About 40 euros each),
Staff at the hotel were great. It's so quiet at night you can hear a pin drop. I know it's the end of the season for the hotel but they could have done so much more with the outside BBQ which was not in use. That said we loved our stay and would return.