Yes, the key here is your definition of "walking distance", as that varies from person to person.... especially at 2am if you stay to the end of each night, and how drunk you intend to be.
I have been going to PPUSA for 10 years straight and always stay at the America's Best (it was a Super 8 before that). It is walking distance, but it seems pretty long to me at the end of the night. I am an old fart, so I don't party until dawn like a lot of the regulars. I have been tempted many times to stay closer to the venue, but I prefer to spend that extra money on merch, beer and food. Being far enough away from all the hoopla allows for much needed sleep, which will be a premium now that we've expanded to 4 full days. There are no amenities at this place, so if you're looking for more of an up scale vacation experience, then this place may not be for you. I'm told they have breakfast, but I have never made it out of bed early enough to see it. I have heard countless complaints about this property, but I guess I'm either tolerant or just plain lucky....I have never had a problem. The staff has always been very accommodating to me if something needs to be resolved.
If you do decide to book there, make sure to sign up for their Value Club (free) and reserve with that membership number. You will get better rates, and cancellation policy.