
For those with a small wallet, like me, can consider Cathay Hotel. It was said that Michelle Yeoh recently shot a movie here.
The reception is manned by several friendly "uncles" who speak very good English, Mandarin, and of course Penang Hokkien. The rooms are clean and spacious. The few gripes I have with this place is, first, the wall is paper thin. Second, as I did not make any reservation and was lucky enough to still get the last room despite arriving close to midnight, I had the first room on ground floor from the main entrance. It means that you can hear all the sounds of people talking and walking in and out of the hotel early in the morning.

Another luxury option is Eastern & Oriental Hotel, the Raffles Hotel equivalent of Penang, founded by the Sarkies brothers too. Looks good too.
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