We had a very nice stay at Elia Palazzo Hotel. Chania is charming, and the hotel's location and staff made our trip. Being on the edge of the Old Town kept it quiet, and since taxis could drop us off very close by, getting our luggage to the hotel was surprisingly easy. It is also very close to beach and has a nice small sunroof. The room was spacious, clean, and comfortable, and the staff was very helpful - the receptionist mapped out excellent local restaurant recommendations for us.
On the downside, our Room was on the 3rd floor with no elevator. While typical for historic buildings, it wasn't mentioned on Expedia and was tough to climb after a hot summer day outside. We also had very weak water pressure in the shower; the staff tried to fix it, but municipal roadworks nearby kept causing it to drop back to a trickle. Lastly, we didn't receive the welcome bottle of wine included with our Expedia VIP booking.
Despite these issues, the fantastic location and warm service outweighed the negatives.