Jazz, I was going to mention the Ohio House because I'm sure it's cheap. It's a coupel blocks from us and is close to the Brown line, which means nothing to Lunchbox probably, but it drops off close to the theater.
There is a Howard Johnson in the same area, but I looked it up and it's about $130 a night. There is a Howard Johnson by O'Hare that is $55 a night. It would take you about 45-60 minutes to get to downtown using the blue line, but it would drop you off close to the theater and you could easily get around hte city from there. The only thing is the commute, but it's not bad I don't think. Spec lives out there so he could tell you more about that.
I know really nothing about this place except that I walk by it all the time. It is in Wikipedia which I find funny because I thought it was just a cheap, little hotel, but it's something to look into and could be an adventure.
It is in the middle of it all being only a couple blocks from the Mag Mile and close to the parks and many eating places. The Tokyo Hotel:
http://en.wikipedia.org/wiki/Tokyo_Hotel_(Chicago) but if this is the place Jazz was talking about forget it. Maybe he is referring to Hotel Wacker which always makes me giggle when I hear it.
Anyway, I'll keep my eyes opened for cheap hotels and if you have any questions don't hesitate to ask.