Never been there around X-mas. don't know about that hotel you mentioned. Stayed at the Princess Riverside Lodge once and Best Western another. The Princess Riverside Lodge is relatively nice. Don't think there is any luxury lodging options in Fairbanks. Was there late Nov-early Dec one year. It was too cloudy to see northern lights the time I was there. Sunset was around 2:30pm and it was only -20 F. Didn't feel as cold as expected. As you fly north from Anchorage to Fairbanks during day light, sit on the left side of the plane facing front (or right hand side south bound), you might have a good chance to get a clear shot of Mt McKinly. Chance of seeing the top of Mckinly is about 30% all year, mostly in winter. Actually, you don't have to go all the way to Fairbanks to see Northern lights. It can be seen sometimes in many northern cities, such as Seattle, Denver, northern Michigan.