Hurry! hurry! to make the stay, allow time for miles to post, book the flights and travel. (From memory, the stay has to be by December, the flight can be up to the first half of 2003 excluding Christmas, New Year, Easter and other holidays.)
The 39 GBP starting price is per person per night for two sharing, i.e. minimum 78 GBP and only applies to a few hotels. Most are more expensive.
This has been part of the Great Air Miles Giveaway over the past few months. Other offers have included a case of wine for £78 or so with 500 Air Miles, offers on Avis rentals and so on.
The wine offer appeared to be £10 or so more expensive than the regular Air Miles offer with 250 Air Miles (does this mean 250 Air Miles are worth £10?).
For reasons which are not clear, the extras (APD, PSC's, security charge etc) with BA flights booked with Air Miles are costlier than similar award flights with BA Miles. I don't know why, but somebody must.