A good yet inexpensive hotel would be the Holiday Inn Express in Causeway Bay, HK Island. It is well located, near many good restaurants and Times Square. Also nearby is Rosedale on the Park where I once stayed on a one night layover - small but clean rooms and decent rates. My parents also swear by the Excelsior which will give you nice views of Victoria Harbour.
If you're prepared to spend more, there's the Conrad, Ritz Carlton, Mandarin Oriental etc at Central, near great nightlife at Lan Kwai Fong.
A lot of tourists usually like to stay at the Kowloon side - but I personally think it seems really ghettoey and prefer the HK Island side. There are a few good hotels on the Kowloon side - cheap and cheerful: Holiday Inn; expensive: the sensational Peninsular, InterContinental, Sheraton.
Must dos - Star Ferry that plies between Central and Kowloon, the Peak, shopping (head over to the little market stalls at Pottinger St, off Wellington St in Central), clubbing at Lan Kwai Fong/the Hollywood Rd area is pretty good except that some of the live bands have a really limited repertoir - oh and look for this place called Dusk Till Dawn at Tsim Sha Shui. And last but not least - FOOD! Great Yum Cha at Maxim's and Jade Garden Restaurant (1 in Causeway Bay, 1 in Kow Loon), and lots of nice restaurants along Wellington St. Don't forget to check out the prawn dumpling noodles - I strongly reccomend Mak's Noodles on Wellington St. There's also another great noodle place opposite Ben and Jerry's but alas I can't remember its name. And - the famous roast goose at Yung Kee, Wellington st. Also - not very Hong Kong-esque but do try to have High Tea at the Peninsular - you gotta dress up a bit for that one. Head over to Jordan for seafood if you're feeling a bit adventurous but I wouldn't do more than that as it's a pretty dodgy area. That ought to get you started.
Enjoy Hong Kong!
