Chao’s rooms are three small spaces built into the side of a house. The quality of work is very high - the bed is comfortable and the bathroom well equipped. The room is very clean, there was a tray with water and snacks waiting on the bed, and our hosts were very helpful when we arrived. And it is close to downtown Palo Alto and Stanford. The neighborhood feels quiet and safe.
A few caveats you need to know. The room we stayed in was incredibly tiny - basically it’s just the bed and the bathroom. You will not want to hang out here. The rooms face the neighbor’s house, so you can hear everything there. (There is no air conditioning, so you might want to leave the windows open at night.) And the electronic door lock is black numbers on a black background, so that it is unreadable without using the flashlight on your iPhone.
Overall, it’s fine. It’s just not luxurious or conducive to spending prolonged time there.