Donatello, Sir Francis Drake are good and donatello usually has some deals. Kensington Park is just off Powell and also has some specials periodically the inn at Union Square - not familar with it but the chancellor is just okay.The Diva is also nice - it is in the theater district a few blocks off Powell....

For an inexpensive hotel near Union Square...
http://www.cornellhotel.com/rooms.html

I have a friend that used to live in the City. Every time he comes back for a visit, he stays there. The price is pretty reasonable for the area.

Rooms are not large, to say the least. Because he was staying there, prix fixe dinner was $25.

It might be hard to pick up the cable car along its route(s) as crazy tourist line up at Powell and Market pay $6 or so, and fill up the cable car there.

You're better off knowing where SFMUNI goes. It will get you pretty much anywhere in the City. Transfers are automatically given. Hold on to the transer, as you can actually use it in lieu of paying for a return trip.

http://www.sfmta.com/cms/home/sfmta.php

Also check out the other hotels in the Kimpton line. Not cut rate but nice boutique style hotels. And staying around Union Square is probasbly the most central location. http://www.kimptonhotels.com/hotels/hotels-sanfrancisco.aspx?WT.srch=1&WT.mc_id=iq_id-48703766

And as for riding the cable cars - go early if you can. Once you get down to the Wharf - you probably will be in a line to get back but hey - grab an Irish Coffee at the Buena Vista for an "attitude adjustment". http://www.thebuenavista.com/home/home.html

BTW - Rasta: The Cornell looks charming and tres reasonable. Not sure how much of a climb on Bush St it might be to/from there - but it looks great.

I live in SF.

Hyatt Regency Embarcadero. Walk outside the hotel and you are at the Cable Cars and BART station. You can go anywhere in the City. I use BART to go to UNION SQUARE.

The fantastic Ferry Building is across the street where you can catch the ferry boats to Sausilito or have dinner at the Ferry Building. The Slanted Door restaurant is one of the top spots in town now.

I work next door to the Hyatt Regency Embarcadero. It's a great area to stay in --- not much shopping (some in the Embarcadero), but plenty of eating, and much less congested than Union Square (which is the retail central in SF). then there's the fact that it's AT the bay. It just depends on what type of ambiance you want. Both the Hyatt Regency and the Hotel Vitale would be great choices in this neighborhood.

One can endlessly debate the merits of staying here or there in SF. Hope we hear a post travel report.