Visiting Lucerne

I've stayed at Hotel Drei Koenige. Easy walking distance from the train station, convenient parking down the street if you are driving and easy walking distance to the Altstadt area. Also reasonably priced. :-) If you are going to be there in the high season and would enjoy a little kitsch diguised as traditional music, jodling, etc., you cannot beat the Stadtkeller's show. You can do lunch or dinner (two seatings each if I recall correctly). Food is not bad, drink the beer instead of wine and the show is fun. Be prepared for large bus tour groups. The restaurant directly across from the Stadtkeller (the name escapes me right now) has great food and better wine than the Stadtkeller, but no show.

I've stayed at the Hotel Goldener Stern and found it to be a good location, price, etc...
Make plans to take the ferry to Alpnachstad and then take the tram to the top of Mount Pilatus, overlooking Lucerne. Beautiful views and a great way to spend a day.