Apologies, I was wrong. It displayed 250 when I ran it wrongly (i.e with incorrect parameters). Otherwise, it displays a solid 10 FPS when running, however the game does not seem to be affected that much by it. At least, I couldn't notice.
In addition, I made a small error with the configuration file I uploaded previously. The server.cfg was in the wrong place. An updated, correct one is attached to this post.
Edit: I found that if you change the hostname to a custom value, you must add sv_unreserve to your server.cfg or execute it via RCON, otherwise it gets stuck in lobby mode and nobody can join. Left 4 Dead Demo.txt