The Palazzo is my absolute favorite hotel on the strip!! I love their rooms. They are humongous. Big bed, and a huge lower level of the room where there is this big sectional couch. I was in heaven. You could easily fit 5 or more people in that room comfortably.
I loved the decor. It was beige, brown, and black. My fiance said that he wanted to decorate our future home this way.
I would totally recommend the casino and shopping area as well. There are so many good restaurants and it's connected to the Venetian which also has a lot of nice stores.