You’d never know it was here, but this friendly hostel occupies the 3rd floor of a building named Edificio Barão de Camaçari (entered from Rua Osias Ribeiro). It's a bit like staying in a friend’s apartment, as it has a good clean kitchen and wonderfully colorful common areas. One of the two private rooms comes with a hammock.
The friendly staff know all the best places around town and the hostel has its own work share areas (free for guest use) which attract interesting arty types involved in the Recife cultural scene.