We've stayed at the Celebration Hotel and yes it is very nice. I guess to answer your question about staying in Celebration for a WDW vacation really depends on what you're looking for in a vacation. The hotel is a boutique hotel and is part of the Kessler Collection of hotels. It is very nice for couples, honeymoons, anniversaries, etc. All the rooms are decorated a little differently. The room we were in faced the lake and was very nice. We also had the buffet breakfast in The Plantation Room, which was very good and the service was excellent. However, that said, I don't know that I would stay there with the intent of still spending all my time at the parks, either. We stayed there for two nights before our check-in to our DVC unit during our anniversary week. Sometimes you can get some very good deals at the hotel by doing an internet search. If I recall correctly, I think we paid a little over $100 per night and that included the buffet breakfast for two. I seem to remember Mousesavers.com had a special listed on their website and that's where I booked it.
