How long are u planning to visit cape town for? If it's a few days I'd stay down town or close ish to the V&A especially if it's your first visit. Any longer and I'd suggest staying maybe a bit out of town and coming in when you like.

Not in the same league as the taj but I quite like the vineyard hotel in newlands especially if you are visiting in their summer season ( oct to march/April). rooms start around €140 b&b and it has a lovely pool area great spa nice fine dinning restaurant ( myoga) and has the most amazing views of table mountain. Downside it's 15 min by car into the V&a but that also means it's closer so some lovely vineyards.