I would definitely recommend this hotel. We stayed in a quad room which was great value (cheaper than a hostel). The room was a little bit small, but the hotel is great. One of the best hotel breakfasts i've had, which was included in the price. Huge choice of food, traditional swedish, cereal, toast, english breakfast. They also do free afternoon tea which was also really nice. The staff were pleasant although not massively helpful, but definitely not rude. The location is fine, its right in the city centre and there a couple of nice bars and restaurants next to the hotel.
If you're looking for somewhere cheap to stay in Gothenburg I'd recommend this hotel.