I'm fairly back and forth about this. My general thought is closer is better, and I love PVI. I mean, you can't really get closer (BW PPI is the same distance). After walking a half-marathon over the course of the day (our typical is around 13 miles a day), it's lovely to cross the street and be "home." And they have Cold Stone Creamery at the front of the building, and we frequently pop in there on our way home.
But, for a $500 less at DPalms, that's:
83 Dole Whips -or-
66 Specialty churros -or-
Dinner for 8 or so at a moderate sit-down restaurant (Blue Bayou, etc) -or-
4-6 spirit jerseys -or-
10-ish sweatshirts -or-
12 t-shirts -or-
18-ish bubble wands -or-
25+ quick service breakfasts...
You get the idea.
However, I've stayed down that way before, and with every hotel/motel I passed, I thought, "If I'd only stayed at Desert Inn, I'd be home.... If I'd only stayed at del Sol, I'd be home already.... If I'd stayed at Grand Legacy, I'd be in my room.... If I'd stayed at BW Anaheim, I'd have my shoes off already.... If I'd stayed at Anaheim Hotel, I'd be heading into my room now.... If I'd only put up the cash for Candy Cane Inn [currently not open], I'd be home now." It was like buyer's remorse with every step I took. Granted, most of those hotels are the other side of street, but the idea was the same-- had I crossed the street and been staying at one of those locations, I would have been done walking.
Also consider if you might be having to dragging a child on that walk. When we take our 7yo grandkids, they are beat by the end of the night. One of them fell asleep before he could even get into his pajamas and we were only staying across the street at Desert Inn and Suites next to Park Vue. (That one made us laugh as he's our most energetic grandson and is constantly go-go-go, so seeing him fall asleep while taking his shoes off was pretty dang funny.) Carrying a 7yo down the length of Harbor from the pedestrian entrance to Katella would be a challenge for Hubs or myself.
Are you traveling with any seniors? That would also affect my decision; again, totally based on how long it would take for them to get back to the room when they were done with their day.