Yes, the area is nice and I am sure a large part of the decision was made due to the isolation of the Windsor Hotel on a hilltop making security relatively easy.

The hotel itself is somewhat of a monstrosity in my opinion. The building looks like some sort of spaceship set down on the top of gentle hill on the banks of mystical Lake Toya.
It was built during the bubble era by a company (I can’t remember which one)as an exclusive hotel for employees and members, went bankrupt, was purchased and reborn as an “International Luxury Hotel”, almost went bankrupt again, and then was bought by Secom.
The claim to fame of the hotel is that they have been able to convince top flight chefs and restaurants to set up branches there and then have done a commendable job marketing themselves to japanese as some sort of cosmopolitan international culinary retreat in the Hokkaido wilderness. I can’t see it drawing many guests from outside of Japan though and predict it will be out of business again within 5 years.