We stayed here while backpacking around Australia purely because it had austar tv and we wanted to watch Manchester united play.
so we gathered a few united fans from the nearby hostel and split the cost of the room (180$) between 6 of us. There were only beds for 3 people. but we were backpacking so don't judge us :-).
Rooms were basic but adequate. Had a lot of ants and cockroaches around though. pool area is nice and the beach and the shipwreck are 2 minute walk away through a dodgy looking gate at the back and across the now disused railway line.

I stayed with my partner at this motel 4 nights. The staff was vert friendly and helpful. The location is great...just two minuts walk from main street and also a back gate directly to the beach. The room was very clean and nice...gave us everything we needed.
Please note that if you need WI-FI it works veryyyyy slow and cuts of all the time (25 dollars for 8 hour usage). Also the TV has really bad reception.

We stayed here last night, 13.8.11, it was one of the only places that let you book for one night in Byron. We knew it had it's own private entry to the beach and was a few minutes walk to the town area. The man at reception was absolutely lovely, and treated us like we were checking into a hotel (not beach motel). They give you a small jug of fresh milk upon arrival to have with the complimentary tea, coffee and hot choc (if you don't want to drink the UHT milk in the fridge). You are offered a map of Byron as well.
We stayed in room 19, room was large, clean, linen crisp and bed very comfy. Toilet and bathroom clean with shampoo/cond, shower cap/soap etc so in terms of an older but very clean motel, the staff obviously try and go a little further (there are even hairdryers). Basically the location is amazing, 1 minute walk through the shrubs to the beautiful sandy beach.
Don't expect the Hilton, it's decent value accommodation with a million dollar location and the staff are very very hospitable. The reviewers micro-analyzing the curtains need to chill out.

Just returned from a relaxing weekend (overnight) at Byron Bay staying at the Wollongbar Motel in a deluxe family room (2 adults, 2 kids). Furnishings are a bit dated and well worn, but the beds were comfy, linen crisp, everything was clean and the kitchenette and bathroom were well stocked.
The motel is in a great location about a minute from the beach (via an overgrown sandy track) and 3 minutes to the shops. Despite this it was very quiet, no traffic or party noise.
Staff were friendly and helpful. It also has an attractive pool area.
While being a bit pricey for a motel, Byron is expensive (even to camp), and one / two night accommodation is limited. On this basis we thought the Wollongbar was good value and hope to return next time we have the opportunity.