My husband and I stay there on a regular basis now every time we go to
Disneyland! I signed up for the Starwood preferred Guest program (which is free thru the Sheraton website or go to SPG.com) and you get 2 points for every dollar you spend on your hotel, which means the you can redeem for free nights or upgrades! And you can request late check-out. I call for reservations sometimes and they usually quote me lower prices than even the SPG site is quoting.
The renovations done on the hotel are great. The beds are Sweet Sleeper beds and remind me of our bed here at home (and we have a $1500 Simmons Beauty Rest bed which is HEAVEN) so you can imagine your sleep at Sheraton! The linens are great too; they don't feel like paper that you are chaffing against! They really put the money into nice rooms, nice furniture and bathroom amenities (shampoo, conditioner, soap, etc) and the service really is great. Pool area is awesome and fun for adults and children (there is a bar out there for the grown-ups

)
It is a block or so away from the park entrance (which in disney terms and disney blocks seems like a mile) but if you walk down South Harbor, there are a lot of trees and shade over the walk ways which isn't too bad. The hotel has a restaurant in it but there is also an IHOP near buy and also a little shopping center area on the corner of Katella and S.Harbor with other cheap food (chinese, sandwich, pizza). I believe there is also Coco's cafe near buy and a 7-11.
If Grand Californian is a 4 star resort as rated by all the travel sites like Expedia, Orbitz, and the like, Sheraton Park Hotel is actually right underneath with something like 3 1/2 stars. So in essence you are staying at one of the higher rated hotels near Disneyland at half the cost it is to stay at GCH (of course if I had the $$ I'd stay at GCH

). But you are getting a semi luxurious resort for Disneyland standards. I believe it is rated higher than DLH too.
They have concierge level rooms at Sheraton that include the late check out, breakfast, and evening hors d'ouevres with drinks. SO worth it as the food is a little more than usual cheese and cracker or pastrie and juice fare.
Sorry for the long review! I really do love this hotel!