The hotel is just before the centre of the village, just a short walk. You should check out a site like tripadvisor for reviews of it. It is not fair for me to comment on the hotel as I have a B&B in Mijas and so I am in competition with it to a certain extent.
There are dozens of good restaurants in Mijas but not much night-life other than that. Tamisa is a very good barbecue restaurant close to the hotel. In the other direction there are the Fuente and the Fiesta, also good. In the centre there is the Snug, crap name but great steaks. Typically Spanish is El Canuelo just up from the hotel. Alarcon and El Nino in the Barrio if you looking for "real" Spanish places. Higher class places include the Basque restaurant Mirlo Blanco in Plaza de la Constitucion and El Padrasto. Stunning views and good food can be had at the Alcazabar in Plaza de la Constitucion too.

Thanks for the reply Big Chiv. We're not looking for much night life, just good food and a few glasses of wine. We just like to chill out and relax and hopefully we'll get some sunshine. I've read the reviews on Trip Advisor and the hotel seems OK. We don't intend to eat there. We'd rather go out and about and sample the local cuisine. I'll print off your recommendations and take it with us. Really looking forward to it.
Gail.