Not enough details
Was the original ruse qualified as an "undercover operation" and was the problem that when they requested a warrant they didn't tell the judge that the suspicion arose as a result of the said "undercover operation"?
I suppose I could possibly understand the logic behind all this if undercover operations in general don't require a priori validation from a judge. it also seems relevant that they did it with full co-operation of the property's owner (the hotel), and, in fact, on the owner's request. It stands to reason that the hotel may have something to say about (and maybe bear some responsibility for) activities in their rooms/villas. It is not clear to me how much suspicion the guests caused and what information was passed to the Feds before they decided to look around.
The relevant bit is how sweeping or limited the ruling is: whether, in the judge's view, the situation would be different if, say, someone's neighbours alerted the Feds that some heavy-duty computer equipment was delivered to a residential property. If not, I'd consider that a problem. But this is not clear from the article.