I just stayed there last month, and liked the property. Don't be deterred by the low number of points; the rooms are quite nice, well above average for Sheraton in my experience. As a Platinum we got a nice upgrade to a large junior suite. I also stayed at the Sheraton Jerusalem and the Sheraton Tel Aviv Hotel and Towers on the same trip, and would put Tiberias well above Sheraton Jerusalem, maybe not quite as nice as Tel Aviv Hotel and Towers.

At the points required I would say it's a no-brainer. Note that it goes up a category on March 2, so you should book now.