Do you think that "the hotel is close" should be accepted? It's a little less literal so I'm wondering what other people think about it.
The option in my question did not have "to" only "too" which is the wrong one. Too=also" I believe that is why you couldn't write the answer using too
It should be simply "the hotel is nearby". Nearby means close to where the speaker is standing which is here.
No, that is not idiomatic in English. Different languages often use different prepositions. So translate the common expression from one language to the other.