We had a good experience with Home from Home several years ago. Someone met us at the flat and showed us how things worked. They also responded quickly when we lost hot water midway through our 12-night stay. I'm not sure I'd rent that place again but the agency seemed fine (and I didn't find the place in their current listings).
We're also used Homeaway, VRBO, and Airbnb in various US and European cities with good results so far.
Most of the websites let you filter by number of bedrooms and baths, and pinpoint locations on a map. On your budget you're probably looking at one bedroom places or studios. Keep in mind that "first floor" in Europe means what we'd call the second floor.
See if you can get within a few blocks of a Tube station, either on the Circle Line or roughly within the "circle" it makes around the city. Here's a tube map within the useful Transport for London website. Use Google Earth and its street view feature to "look around" the neighborhoods you're considering.
Apartments ("flats" in UK-speak) can be a good choice for a weeklong stay, vs. hotels. You have room to spread out, have some meals "at home," maybe do laundry, sleep different hours if you want, and feel more like you're in a real neighborhood. You don't have a hotel desk clerk to help you get a taxi or tickets or recommend a restaurant, and if something goes wrong you may have to wait for a fix instead of just switching rooms or such. But we'd always choose an apartment over a hotel for more than a few days, especially in a city we already know.
You probably already know it's late to start planning an October trip, but I'm sure you'll find a good place. Sorry I haven't a clue re theater tickets!