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24 hours in Munich: airport hotel or city hotel?

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We will have a 24 hour layover in Munich on our way home from Sicily. The prices in April for hotels near the airport are outrageous but we have an 10:30 AM flight. The Holiday Inn Express is ~$250 a night and I may be able to redeem a $200 coupon through Expedia. In any case, is it feasible to fly into MUC, dump our stuff, take the airport train into Munich and spend the day there, have a nice dinner, and then take the train back? Or would you suggest staying in the City and sucking it up and getting up early and taking the train back to the airport that morning?

Thanks for any advice, suggestions, etc

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