Just to update, I had a pleasant stay here, would certainly return if I was in Brunei again. As a SPG Gold it was the SPG floor for me, nothing much in the way of upgrades, though there was water and a fruit platter there which was nice. Rooms are nicely renovated, slightly unusual with the partition between the bed and the couch, but I liked the layout personally.
Staff were friendly, the front desk was generally thinly staffed but there wasn't much in the way of traffic through the lobby either. Pool was decent enough and the gym had a reasonable selection of equipment, some a little worn, but still servicable.
If you've got the money I'd still recommend the Empire if you're in Brunei, but the Sheraton's not too bad, and if you needed to be located in BSB itself instead of out at Jerudong then the Sheraton's definitely the best pick in town.