No, it's on Disney property but you don't get all the benefits. You don't get Magical Express or Extra Hours. They share a shuttle system with the other Downtown Disney hotels. It runs every 30 minutes to all four major parks (less frequently to the water parks), but is not the same as Disney shuttles (although you can use Disney shuttles if you are going to a resort for dinner or whatever). You do get access to golf tee times and ADRs. The tradeoff is much cheaper rates with lots of extra space. We think it is a deal worth trying. Part of my family is staying there next month for a family reunion.
I suppose it depends on what your priorities and needs are.
P.S. The Hilton next door is the only Downtown Disney hotel that gets the magic hours.