You can also try the Bossotel Inn, right next to the Shangri-La. We booked through www.asiahotels.com (a really good website for discounted hotel rates all over Asia), and paid about $18 per night. Clean rooms, nice service, and they were renovating some floors when we were there. Also, they included a really good breakfast. You walk about 5 minutes to the water ferry stop by the Oriental, and the skytrain stop is also nearby if you walk towards the Shangri-La.
J.
J.