While visiting Taiwan this past January, we took a mini trip to Yilan and stayed at the Hotel Royal in Chiao Hsi. It's a stunning hotel, minimalist in style, with beautiful, soft lighting, and gorgeous views of the surrounding hills. The Japanese rooms were spacious and elegantly simple. We even had our own in-room onsen (hot spring).
We've stayed at many different hotels around Taiwan, and I must say, this was one of my favorites.