Eh.... They definitely have the name, but from what I've heard they're not worth the high $$$ they command. Colt has been going down hill for a while since their golden days 20-30 years ago. The only reason they're not completely kaput right now is because they JUST got bailed out of bankruptcy (again) by a new military contract for the M4. It was the second time. Maybe they could have come around again with out that, but teetering on the brink of bankruptcy and bad management could very well have a negative affect down to the product line, I don't know.
I think they make good stuff... but it's just over priced. ESPECIALLY their 1911's and bolt guns. The AR's have come down in price which is good, not not much else has.
If I was going to spend some coin on a 1911 it would be a Dan Wesson, hands down.... No contest.
To be honest I haven't looked at colts 1911 prices in a while though. Maybe they came down a little too.
I'm not a huge 1911 shooter since I've never bought one yet, but I've shot a bunch here and there. Colt, Sig, Remington, para, Dan Wesson. I'm not going to say one out shot the rest because I didn't put them through their paces but the one that blew me away from the second I saw it was definitely the Dan Wesson.
As for cheaper ones I've heard nothing but good things about Rock Island. But it sounds like you want something a bit nicer.