The Norbang is an excellent choice in Tongren and offers fantastic value with stylings that are almost boutique-hotel. Forgo the generic western-style rooms, and pay a little extra to bunk in a traditional Tibetan-style room with wooden platform beds, ornate ceiling, polished wood flooring and large and very clean sparkling shower rooms. Breakfast is ¥10 extra (upstairs on the top floor).
Breakfast consists of tsampa (with cheese and butter if you want), boiled eggs and other simple Tibetan/Chinese food. There's a roof terrace for drying clothes and a Tibetan-style lounge.