While I have been to Edinburgh more than I can count on two hands, I actually don’t have that much experience roaming the city as most times I flew in and continued. One time I had the chance to walk up to Arthur’s Seat, the hill just outside of town that gives you a marvelous view when the weather is nice. But there are a few other gems that are worth considering.
For a hotel consider Rick’s on Frederick’s Street or Tigerlily on George Street. They are both centrally located and a good mix between boutique and size-able enough for great service. Tigerlily would also be a good recommendation if you want to have some nice cocktails or a lovely dinner. Other restaurants I can suggest are Petit Paris and Maison Bleue, of which the first is located in a more industrial area that is up and coming.
For a drink after dinner and some entertainment go to Ghillie Dhu where live bands will perform pretty much every evening and you will have a great night.