Our family has done both a standard room at Paradise Pier (Dec. 2006) and a kid's suite at Hojos (Nov. 2010).
When we stayed at the Paradise Pier, it was our first time staying at a Disney hotel. (We have only tried a Disney hotel one other time, DLH in June 2010.) Our room was spacious. There were two queen beds and a daybed. There was a small refrigerator, a hairdryer, no microwave, I can't remember about a coffeemaker. The room was very clean. The decor was bright and pleasant with a few Disney touches, but it wasn't that Disney-ish. Since we stayed in December and the weather was chilly and the kids had colds, we didn't try the pool with the cool slide. I hear it's a really neat water slide. We had no view so couldn't see fireworks or anything from our room but could listen to Disney music on the t.v. We ate at the PCH Grill since it was there. The food is decent, and since it's off the beaten track it's not usually crowded. These are in fact the reasons we have eaten there since, even when not staying at the hotel. The walk from the Paradise Pier Hotel was no problem for us. We usually took the GCH shortcut, often referred to on these boards. I wouldn't say that the walk is any shorter than Hojos, but it is, I guess, more pleasant in that you never have to see/experience Harbor Blvd, a city street. If your first entrance of the day is into DCA, you have the advantage of using the GCH entrance into that park. You also have the benefit of using MM each day it's available.
The Hojo kid's suite is made up of two of the hotel's smaller rooms that have been joined together. The grown-up side has a king bed. The kid side has a full-size bunk bed and a pull-out couch. Each side has it's own bathroom. We loved this part! There is a door between the two sides that closes and locks. Each side has it's own tv. There was ample storage for clothes and luggage. The room was immaculately clean. The decor was fun, pirate themed. Some have complained because the door to the outside hallway is on the kid side of the suite. We weren't concerned because we lock all the locks and use the security bar, and our kids are mature enough and responsible enough not to open the door or go out without permission. Another possible drawback to the suite is that it is on the highway side of the building. The highway noise is a constant, but many regard it as just white noise. I am a pretty light sleeper and still managed. Another problem I noted in our particular room was spotty wireless Internet. Parking is ample at Hojos and free. I will note that parking at Paradise Pier was also quite easy and close but not free. My boys really enjoy the water play area at Hojos and also like the swimming pool.
If it was me, I would probably go with the Hojos kid's suite, and here's why: space and privacy. Your kids are pretty young and may be needing mid-day naps and earlier bedtimes. When our boys were that young and we were all sharing one room, DH and I would have to turn off all the lights at night and lie still on the bed waiting for the boys to fall asleep. Even after they did so, we had to tiptoe around, whisper, and use limited lighting. It's nice to be able to have the kids in a separate room so DH and I can stay awake and comfortably do our own thing. With older kids, it's nice for everyone to have their own space and get a break from each other. You're staying a lot of nights. For a two to three night stay, I might try a DL hotel again for the fun experience, but for a longer stay, that extra space and break from each other is really important. Two bathrooms too! That is so nice for expediting the getting ready in the morning. Just my two cents. You'll have fun either way.
