You are right in Old Town, and though the place has modern touches, the exposed stone, brick, and wood keep the historic vibe. Technically, yes, it could sleep four people, but you’d want to be very comfortable with those people; you wouldn’t have much privacy. (It was just right for the two of us.) We were toasty warm when it was down to -14C outside, and the heated entryway keeps your boots warm. It felt quiet and private, even though it was very near lots of shops and cafes.