We stayed at the Santa Lucia No.3 in August, and had an upstairs room with balcony facing onto the street. The room was reasonable for the price, though a large damp patch on the wall could have done with being over-painted. I don't recall any problems with the beds.
I'd recommend the hotel, as it's an attractive place full of beams and olde world charm. However, you may wish to choose a different room. Whilst the balcony was nice there was a lot of noise from the street below - vehicles clattering along the cobbled street and drunks rolling home until the wee small hours - and the vent from the bathroom was linked to the adjoining rooms - so you could hear them going to the loo etc - not very pleasant!