Having been to the Full Moon Party before I was aware of the need to book in advance for somewhere good, and also that many places required a block booking of "x" days around the event.
With that in mind, I was pleased I could book for the night of the party itself only. In terms of expense, for someone on a two week vacation it was completely affordable, for someone backpacking for months on a budget (as I have done before) this would be a luxury stop.
The little lady who runs the Palita Lodge was lovely. Upon arrival we were given a drink on the house as we checked in, the room was great - air con, clean bathroom (absolute must) and a comfy bed. As with all accommodation around the party, we were informed of the rules and fines associated with fluorescent body paint - we stuck to the rules and got our full deposit back.
On the night of the party, the lady running the lodge put on a buffet for guests and once again provided a free drink - a very personal touch that I was impressed with. I couldn't believe this was included in my booking, it saved having to go out and eat before going to the party.
Location? - brilliant. For the party, it really is a short stroll down to the beach. It's situated at one end rather than in the middle, it will be loud all night but if you've had a few then you'll still sleep. There's a pool and bar area which we simply didn't have time to use. Breakfast was also decent and a ferry shuttle service was available for a reasonable price.