86 CHF for a 4* hotel in Zürich is an absolute steal, and the Sheraton is definitely a good choice. Yes, the location isn't that much downtown, but transportation, as others said, is great.

To get to the Sheraton (Tram stop Toni Areal), most people will suggest you to take the S-Bahn service to Hardbrücke, then take Tram 8 one stop to Schiffbau (or walk there, it's about 400m - not ideal with luggage), then Tram 4 for 2 stops to Tony Areal. This is most probably the fastest connection, but requires to change one time more than if you'd take a train directly to Zürich HB (Mainstation), and then take the Tram 4 directly from there. This will add a few minutes to your travel time, but you can catch ANY train towards Zürich HB, including the intercity trains, and you can change for Tram 4 directly in Zürich HB.

Oh, and if you happen not to be in a rush and like to do some "sight seeing" on the way, the easiest connection (almost no walking involved) would be to take Tram 10 from the airport till Tram stop "Central" (located in Downtown Zürich), and change there for Tram 4. That would take about 55min instead of 25-40min for the connection by Train+Tram, but I'd consider that, especially if you can assume your room isn't ready for checkin yet...