If the focus of your visit to Granada is the Alhambra palaces, then this is the best location for you - they're a totally convenient few hundred steps away (some of it uphill). This hotel is on the hillside high above the city, in a separate, quiet, refined space for your visit. Getting to the rest of the city down below is a bit inconvenient, a long walk down and back up, or a cab ride. No near dining options.
Our city view classic room was -- adequate. Well, maybe more like tired. It was clean and did have the small balcony doors for the view, but in need of a full modern refresh that befits the stunning location/views, hotel's grand public spaces, and its not-insubstantial price tag. You have to step over the high edge of the tub to take a shower, the little flap of glass on the side to keep the water shooting onto the bathroom floor, the flimsy later add-on shower.
The feel and views from the hotel's restaurants are spectacular. The public areas of the hotel are quite grand, with many motifs and design cues from the Alhambra palaces, beautiful. When we were there in second half of October, the main dining room was open for only 800-1000 pm (and breakfast), though the bar would also offer most food from the main restaurant menu, but without the Expedia Gold VIP discount to which we were supposed to be entitled. Menu is reasonably extensive, high-quality traditional food, maybe slightly lacking in pizzazz but still very enjoyable when combined with the views.