Absolutely loved this place. We went on a Monday night without a booking and had to wait half an hour for a table. Well worth it though. I'd say make a booking but you will probably have trouble doing that unless you can speak the lingo because they have negligible English here. Very extensive menu in a handwritten book. There's an English version of the menu. Dishes are around 25-30RMB and not huge so you'd probably want three for two people, as we ordered. We had a braised cauli/broccoli dish which came in a delicious broth, some house-made noodles with mushrooms and a plate of vegie dumplings. Plus we had tea. They have quite a range of teas as well. These weren't cheap but they seem to take tea quite seriously here and the tea we had was quality. This is a really classy place and we couldn't fault it. My only regret is going there on our last night as I would've loved to have sampled heaps more things on the menu. I don't think you would get into repeats until you'd been there at least 4-5 times. Staff were very friendly too. Undoubtedly, we'll be going here again whenever we're in Shanghai.
Updated from previous review on Sunday April 14, 2013
Cons: Busy, so you may have trouble getting in, Location not the greatest