Stayed here for 2 nights, and found it to be one of the cheapest in our 4 weeks in NZ. Within a brisk walk of the town centre, and very reasonable @ NZ$95 (£38) per night.
Spacious and comfortable accomodation, friendly and helpful proprietors.

One word of warning - don't get a take-away from the chinese just up the road out of town - it was dreadful - our worst chinese ever - and horrendously expensive.

Do, however, eat at Kingsgate Hotel Brydone in the town (walkable), walk the antique shops in the old town, visit the restored Totara Estate sheep farm, and see the penguins come ashore at night. more