Yes, they are quite happy to put an extra bed in the bedroom for our 4 year old.
We first went when our youngest was 13 months old - that was straightforward because 2 'children' and 1 'infant' is ok for one suite, so we just booked that as a simple package with Thomson. The older two children were 7 and 4 on that first trip.
For our second visit we used Alpharooms to book the hotel for two adults and two children, booked flights separately for all 5 of us and then paid the hotel directly for the extra bed for our youngest. In actual fact it was still a cot she had, even though she was 3, because she's so small for her age!
As I said above, for our third visit next May I've done it through Jet2 this time. It was working out a bit cheaper than doing it via Alpharooms and separate BA flights again.
In terms of the hotel itself you get a decent sized living room with twin sofa beds (it's one sofa, but the beds pull out separately, they are really comfy, we sleep on them and have the three children in the separate bedroom), a bathroom and a bedroom, plus a balcony or terrace. We always ask for a ground floor room due to my belief that
balconies and children are a dangerous combination! The rooms were all refurbished over the winter of 2013/14, I think most of the bathrooms now only have a big shower but there are a few rooms with baths so you could email them to request that if it were essential. The bedroom has twin beds, and even with a cot or extra bed there is still room to walk around.
The pools are just 'plain', no slides/water features etc, which I really like. The main pool is deep, so you can have a proper swim without being bothered by too many children. There are two shallower pools, and our children have always been really happy splashing about and just playing with toys in there.
It's not a massive hotel, you couldn't lose sight of your children around the pool. There is a kids club organised by the hotel but it's quite informal. Children over 4 can be left there alone, but you have to stay in the hotel as they are free to leave at any point if they want. It's not a strict sign in/sign out thing like a nursery or anything.
I couldn't think of a bad thing to say about the place really, although we have only ever been over May half term and into the first few days of June. Some of the reviews written at the peak summer holiday time (July/August) do have the usual complaints about sunbed hogging! We have always been able to get sun beds whatever time we've turned up at the pool, we've never had to get up at 6am to put towels down! Also the evening entertainment has always still been indoors in the bar area when we've been there, so if we've wanted the kids to go to bed at 9-9:30 after the mini disco any sound/music from the 'grown-up' show has been muffled. At the height of summer the evening stuff is outdoors by the pool, so although it does finish at 11ish it's going to be a bit louder when you are in your room.
Overall a great choice, and the location is really central.