In January 06, in the middle of a snow storm, I stayed in the Daphne and left it with memories of a special visit. I returned in June this year, again passing through Istanbul on the way to a conference. I stayed in the Daphne both going and coming.
This is an excellent hotel, excellent because of the high quality of its accommodation but especially excellent because of the friendly and helpful staff. During my stay nothing was too much trouble and when working or relaxing they provided a welcome supply of tea.
The roof top bar is a joy!
The Daphne is a few steps away from the Blue Mosque and the excellent tram system.

My partner and I stayed at the Hotel Daphne for 3 nights and were very impressed by it. We had a corner room at the front of the hotel with two windows and a wonderful view of the Sea of Mamara and a lovely mosque. The room itself was very spacious and tastefully decorated and the en-suite bathroom was fabulous, with towels and toiletries replaced daily. It is very centrally located in the Sultanahmet district of the city and just a 5 minute walk away from the Blue Mosque and other major sites. Excellent breakfast too! Would definitely go back.

After reading the rave reviews, maybe we were expecting too much.
In its favour, the hotel was centrally located in Sultanahmet so great for the 'major' sites, and within easy reach of the trams. It was clean and the beds comfortable.
On the downside, the restaurant food was pretty poor - we ate there on the first night, a lamb kebab was mainly offal. The breakfast buffet was passable but they frequently ran out of coffee, water, cups etc and as the person replenishing them also seemed to be running the reception area, it was good luck if there was ever any more.
The legendary helpfulness of the staff was not in evidence: when we asked for directions the receptionist was indifferent and made no effort to try to direct us.
If you just need a base in this area of Istanbul, I guess it's OK, but it certainly didn't enhance our enjoyment of the city.

A rare gem of a hotel in the centre of all the 'must see' tourist attractions (eg 5 mins from Blue Mosque). From the complimentary tea on arrival, the free internet access and the very personal care and attention of the management and staff, this is THE place to stay in this area. The room was spotless and the roof-top terrace has an excellent view of the Bosphorus. A friendly, clean, welcoming hotel at a reasonable price; what more could a guest want!