The Old Town doesn t really have a lot of, mainly rooms or pensions, however there is a new hotel just opened called the Fashion Hotel, book early as it only has 3-4 rooms, they are breathtaking however.

The Athinaeum hotel is quite accessible to the Old Town!

sorry, i meant rhodes town

The Mediterrannean hotel is one of my favourites!

If they are too pricey I would go for the Hibiscus, right next door and recently refurbished with better prices.

I would agree with SaraP, I have been to Rhodes Town twice, not stayed in these hotels but have been impressed with them walking past and checking out the websites and reviews, also try the Cactus. It's a pleasant walk from the new to the old town anyway past Mandraki harbour.