@Long John perhaps we have different tastes (and/or just different budgets), but I have now stayed at the Night Hotel twice during this trip and been very happy with the experience both times. The quality of the room and other facilities is very good. Especially to my American sensibilities, where a comparable hotel in a major city would cost probably 4x as much. I enjoy a little bit of luxury when vacationing, especially when my money goes so far here. I don't know what you're getting for 1000 THB, but I suspect it's not the kind of place I'd want to stay.
I also suspect you are not finding the best deals. For my two stays, my average nightly right has been 53 USD (about 1850 THB). That's about a third less than the amount you quoted above.