Staying at Hotel Tugu is a great choice. It's strategically located in the city center, close to the town square, and easy to find food thanks to the numerous shops nearby. The service is excellent, with friendly and courteous staff. Furthermore, the breakfast is delicious, though not extensive, but very satisfying.
This hotel is perfect for history buffs. Although the building is ancient, it's not intimidating at all, as the place is clean and well-maintained. I'd definitely stay here again if I were to visit Blitar again.