Would definitely recommend the Port Hotel - extremely friendly and helpful staff, very nicely furnished rooms (although not big) & very clean. Neighbourhood is very pleasant with many bars and restaurants, short walk down to the beach and marina area. Also the meeting point for Ben Haim tours (seems to be the biggest in Tel Aviv) is very close, which means Port Hotel is the last pick up, which saves half an hour at least (valuable with 0700 starts!).
Tel Aviv is not cheap but Port Hotel represents good value for money given that.