Did the hotel inform you that the upgraded room was right next to/up against the bar/dinner area when they upgraded you? I've had this experience twice, and asked that we not be upgraded. Both times it resulted in a better upgrade on a quieter area.

I think there's a wide variety of 5* properties, and that some of these properties might encourage drinking and dancing. 1am isn't the end of the world, in my opinion, but that's just me. That being said, the response of the GM as reported here is very poor and the hotel really should have made you aware of the situation when placing you in the room. Further, if the music was actually from a guest's ipod then the staff should have addressed this at the time of the incident.

Did you reach out to the front desk or security between 9pm and 1am?