Like you said in your post, Mata Rocks is a wonderful place to stay. The people are great and the service very personal and friendly.
I think what you will find is that the water condition you mentioned may be caused by the fact that the Hotel has a well and Terry may be running that part of the system of off this supply. The water from the well is "safe" but not something I'd want to drink. It also has an odor to it.
In years past (and I doubt that it is much better now) the public water supply has not been very dependable. Terry and Liz are actually quite lucky to have a well to fall back on. Many of the hotels don't have this option and when the water is out it is really out.
The breakfast is as you said limited but quite good. I agree that some of the time I'd like to have more but I surly don't need it!
We will be returning to Mata Rocks in a little over a month (February 27 - March 18) and this will be our seventh or eight time there.(lack of memory caused by lack of Belikin) Obviously we are all very happy with the location, physical plant and the people.
Andy, your right it is not a 4* Hotel and people should be aware of this. They don't claim to be one and they don't charge like onebut they have service to rival one.
It is just a really nice place to stay if you want to have the personal touch by a group of very nice people who all know your name and remeber you from yaer to year. This may not sound like it is very important but to myself and the folks that I travel with, it is very important