I realize after I booked this hotel (1 month before), the rooms filled up quickly during December. That explains, since the location is top notch. It's 5 minute walk from Hakodate JR station, and the tram stop is right in front of the hotel (you can basically count your steps). Eateries are plenty around.
Room quality is good with adjustable heater buttons, and typical Budget hotel size room in Japan. Breakfast was simple but enough; scrambled eggs, sausages, breads, miso soup, yoghurt, blueberries, etc.
Nothing to complain about. Just make sure to book it early.