It's expensive for the level of hotel it really is, but you're paying for all that Nick theming and the pool (which is amazing, but gets very crowded). It used to be a Holiday Inn Family Suites and we stayed there both before and after it became the Nick Hotel. I didn't find the rooms to be changed at all, except for the new Spongebob wall paper in the kids room, and the price for the room doubled! I liked it better when we got a room there 2 BR suite there for $99 a night, I think. When we went at Easter 2005, the room was $250.
I never had any issues with the hotel, the cleanliness or anything else. For Disney visits, I'd rather stay at Disney -- it will cost the same (or more or less, depending on what resort) and be much more convenient. If you're not doing Disney, it's a fun place to stay and it's nice that the kids can have their own room and mom and dad get their own room.