Very quaint hotel - all the main sites in Arcos are easily walkable within a few minutes from the hotel.
Some of the finishes are a bit dated - I think it's perhaps more of a 2-star hotel and even the plaque on the outside of the hotel only has 1 star but, as I understand it, the Spanish hotel rating system is undergoing updates.
The room we got definitely had a different feel than the ones pictured online (again, more dated) but nevertheless it was comfortable and did the job for our one-night stay.
The shared spaces are lovely, including the rooftop patio. The staff were friendly and helpful.
Note that there is no parking but the front desk staff kindly advised us that on streets where the curb and lines are painted blue, street parking within these marked areas is free. On a complete fluke (we were lost trying to find paid parking, lol), we were able to find blue-marked areas on Av. Miguel Mancheño, an approx. 5-minute walk from the hotel.