Budget but ok
I had the pleasure of staying at Hotel 17 the last time I was in New York. We stayed there for 9 nights in May 2012.
Well don’t expect luxury when you by budget. But if you buy budget it is very fine.
It was clean, and we got clean towels every day. Downside was the shared toilet and bath in the hall, but if set your mind to it, it was fine. It got cleaned several times during the day and we didn’t have to wait.
The staff was nice and helpful. They arranged transport to the airport.
The best part is the location, very central and you can get around in New York very fast. 
We stayed at Room 411 and it was large and with great comfort. Two separate beds, but I traveled with my friend, so it was ok.
If I have a budget vacation next time I come to New York, I will stay at Hotel 17 again because of the location.