Almost perfect location
With one caveat, this a great hotel. The location is prime, the service outstanding, and the accommodations very nice. 
The location is close to everything in downtown S. D. You can walk anywhere and if you're driving there is valet parking or the really handy parking lot right across the street from the hotel. You're right at the gate of Gaslamp Quarter, the historic district of downtown. 
You're also mere minutes from some great neighborhoods, like the mostly forgotten Little Italy (the largest in the country) and Balboa Park. 
Everyone from the valets to the front desk are very hospitable and friendly. There is a very handy McCormick and Schmicks inside the hotel, just off the lobby. They do a fine happy hour there with some good microbrews on tap. 
The views from most of the rooms (I've stayed here several times) are scenic, unless you're facing the rail yards. 
There is a light rail system outside the hotel that takes you to points beyond downtown, so that you don't have to deal with parking or traffic. 
And that brings me to my one caveat: the rail system. If you get a room too low to the ground facing the ocean, you may have troubles sleeping because of not only the light rail but the freight trains (the great offender) that come through the area regularly. 
If at all possible, snatch yourself one of the rooms on the higher floor and enjoy a little more quiet and a better view of downtown.