I lived for a while (about 4 months) at one of the other Pacific Hotels, in Sunnyvale, a little over a year ago.
I think I paid about $350 a week. The place was very simple, but clean. It was filled mostly with young travelers and older folks who liked to hang out in the lobby. I enjoyed living there.
Area is pretty good, its in the "downtown" sunnyvale area, next to lots of pretty good restaurants and a mall, parking if free and plentiful. It is also right next to the caltrain station.
I'd recommend paying the extra for a room with your own bathroom and shower, but that's just me.
just thought of the biggest caveat...which may effect some of the other cheaper hotels as well. I don't think there was a phone jack that you can use in the room. The phone is turned off unless you pay a deposit (I never bothered). I'm not sure if you pay the deposit if there's a way to connect your modem to the line...might want to check on that.
http://www.pacifichotels.com/pac-inn-sv/