I will be arriving in Istanbul at around 8:30 PM in May..can anyone recommend a decent hotel close to the Ataturk Airport that provides shuttle service because I will only be staying one night and flying to Dalaman the next morning. Thank you!

There is a hotel at the airport but I don't know it's prices. Maybe you can send them a mail? Even if it is a bit more expensive than you'd like to pay, staying on the airport would not give you the hassle of going away.

See: http://www.ataturkairport.com/eng/1.php