The Bluemix documentation leads a reader to believe that the only persistent storage for a virtual server is using Bluemix Block Storage. Also, the documentation leads you to believe that virtual server's own storage will not persist over restarts or failures. However, in practice, this doesn't seem to be the case at least as far as restarts are concerned. We haven't suffered any virtual server outages yet.
So we want a clearer understanding of the rationale for separating the virtual server's own storage from its attached Block Storage.
Use case: I am moving our Git server and a couple of small LAMP-based assets to a Bluemix Virtual Server as we simultaneously develop new mobile apps using Cloud Foundry. In our case, we don't anticipate scaling up the work that the virtual server does any time soon. We just want a reliable new home for an existing website.
Even if you separate application files and databases out into block storage, re-provisioning the virtual server in the event of its loss is not trivial even when the provisioning is automated with Ansible or the like. So, we are not expecting to have to be regularly provisioning the non-persistent storage of a Bluemix Virtual Server.
The Bluemix doc you reference is a bit misleading and is being corrected. The virtual server's storage on local disk does persist across restart, reboot, suspend/resume, and VM failure. If such was not the case then the OS image would be lost during any such event.
One of the key advantages of storing application data in a block storage volume is that the data will persist beyond the VM's lifecycle. That is, even if the VM is deleted, the block storage volume can be left in tact to persist data. As you mentioned, block storage volumes are often used to back DB servers so that the user data is isolated, which lends itself well to providing a higher class of storage specifically for application data, back up, recovery, etc.
In use cases where VM migration is desired the VMs can be set up to boot from a block storage volume, which enables one to more easily move the VM to a different hypervisor and simply point to the same block storage boot volume.
Based on your use case description you should be fine using VM local storage.