10 story holiday inns are very professionally run, they have security etc.
Why do you think a hotel would be worse quality than residential?
I live in a mixed neighbourhood and many of my neighbours are already roach motels.
Franky, in all my travels I've never come across the proverbial roach motel, or anything totally run down.
My concern would not be the business or people - just parking. As long as there isn't a big parking lot, there's no reason why I couldn't be next to a short term residential unit, I don't think many people would have any problems at all.
There's nary a difference between a hotel of a certain type, and residences. There are people living there.
'Parking lots' are massively different than any other kinds of space.
As long as the hotel fits the local aesthetic, i.e. only 5 stories high if the other buildings are, 1 story high if the others are ... then there's nothing wrong with them at all.