I stayed at this hotel for a night in September 2014 with my friend from overseas.
I was very very impressed with its great cost performance. I booked a dinner and breakfast plan and it was overall 15300yen (for a room, two comfortable beds). Our room was modern/Japanese style room(larger than most of 4-star hotels in Tokyo) and it was facing a parking lot and the river. In the morning, we got to see a family of monkeys coming from the riverside so it was a nice surprise.
All rooms have an awesome open-air bathtub/shower at the balcony in addition to a bathroom inside of the room which of course you can use whenever you want to. You can get natural hot spring water in the bathtub by turning on a faucet above it (they also have cold water to adjust the temperature). They have not only in-room bathtub, but also have a public bath on the first floor where you can experience several types of bath (sauna as well in men's bath room) but you have to be naked for this one...
They have karaoke rooms(you have to pay extra fee but I remember it was not expensive, like 500yen/hour?) , mini gaming arcade, mini-gym, ping pong table etc. I could imagine it'd be even more fun if we stayed with more friends/family.
What I most liked about this hotel is its rooftop. I heard they actually just renovated the rooftop this summer. On the way to go to the rooftop looks a bit old, but the rooftop itself is amazing.
There are two jacuzzis(speaker attached!) , one large size pool, one cold water bath, one hot water bath, a big screen TV, BBQ equipments(not sure if you have to pay extra though) and some chilling space. I think you can even bring a DVD by yourself and play on the screen. We went there at night after we had a dinner and no one was there so it was very nice we got to relax well after a long day in Nikko. :)
They also have a full-day rental bike service for 1000yen/person. Since Tobu world square and Nikko Edomura is in biking distance, I highly recommend that you use it.
As for staffs, they're very friendly and helpful, but it might be better to remember some basic Japanese phrases just in case they don't speak English. (I'm Japanese so I couldn't figure that out..)
The only downside of the hotel is that they don't really have guide signs in English and that there's no restaurants or convenience stores open nearby during night.
But that's not just this hotel, but also the same for other hotels in Nikko /Kinugawa areas. You should expect all stores close by 5 or 6pm in the area. That's also why I was so glad we chose a dinner and breakfast plan.
I definitely recommend to stay at this hotel if you're looking for a reasonable yet decent hotel near Nikko or Kinugawa.