I haven't stayed at that hotel but I know the area quite well.
Fergus Club Europa is about 1.2km from the beaches of the town (Peguera). It's uphill but not drastically so, about 60 metres of gentle elevation gain with big wide pavements, so no problem with a stroller.
There is a bus stop 400m down the hill, from which it's a €1.80 ride into town. You can also come back on the bus, but there is a one-way system, so you get on at the same stop in town as where you got off and it will loop round the back of the town. Between the hotel and the bus stop there are two full-size supermarkets.
The hotel is the last property on the road out of town, so it will be quiet at night unless you have a room right above the bar, which I'm sure they won't allocate to someone with a toddler even if there are any. From the map it looks like the hotel is spread out over quite a big area, as if they carved out a big chunk of land just for the one place.
The town itself is a medium-lively resort, more popular with Germans than Brits but still with quite a mix of nationalities. There are two sandy beaches which are both great, and lots of shops and bars. The bus will also take you to Santa Ponsa for a different beach, to Palma for a day in the big cities, or up to Estellencs and Banyalbufar in the mountains, which is a simply stunning ride.
I would say, if the AI deal looks right and you intend to spend more than half your days in the hotel then you should be fine. But if you want to walk to the beach every morning and afternoon, coming back to the hotel for lunch each time, you are going to be expending a few calories (especially in August).