The service was below expectations and the check in set the tone. We were given one card key and when we asked for another the receptionist stated we were only allowed one. I questioned this policy as a different receptionist had just asked another guest how many keys they wanted. The receiptionist claimed that because we were staying only one night we were only allowed one key, but she would make an exception. Also, a job interview was being conducted in the lobby, which seemed inappropriate for the sake of the interviewee's privacy.
Other things that were off were in the room, dust on the windowsill and around the tv, stains on the tatami mat, cheap in room safe, no way to make coffee/tea despite a hot water kettle in the room (we were told to come downstairs for them) and wallpaper coming off at the seams. That being said overall the room was not bad and outside bath unique, but would have been better if it somehow had a view.
However, the final thing that contributed to a negative experience was the receptionist at checkout, she was terse and preoccupied. I observed similar interactions with other guests checking out.
Omotenashi was lacking at this hotel. For a ryokan style hotel, the service and attention to details does not support that concept or rate. Ironically, in the job interview, the interviewer stated to the candidate how this hotel is a high end hotel charging at least 20,000 yen per room. On a final note, we didn't receive any of the VIP Access benefits.