I stayed there for 3 nights last week. Great location, 5 minutes walk from the beach, 2 minutes to nightlife, two 7/11s and a nice Irish pub less than 30 minutes walk away.
The hotel itself is very dated, kind eerie, but it's still a half decent hotel. I paid 1200baht per night on Agoda, 2,500 is wayyyyy too much!
Anyway, check out my full video review here: City Beach Resort - Hua Hin - Review