During my 2 day stay at Patnitop, I visited Hotel Jai Shree. The rooms are exceptionally great. I stayed at the Honeymoon Suite. The only problem is that the hotel often runs out of electricity and you have to approach to the manager time and again. It is nestled among the quaint valleys and provides an enchanting view of the surroundings.
I recommend this hotel for a pleasant stay but make sure that you are ready to compromise with the little shortcomings of the hotel. Geyser is a problem there and the staff will serve you warm water after you request them.