Occupying the best part of a city block, Masaya Hostel outclasses almost all the city's top hotels with its spacious wood-floored rooms, beautiful public spaces and enclosed courtyard garden strung with hammocks and centered around a ceiba tree with a wraparound stage. That it offers such exemplary accommodations and some of the Old Town's cheapest beds can scarce be believed.
Rooms are cleverly designed: layered, varnished pallets, for example, make up some beds and shelving. Even the dorms have a feeling of seclusion, with privacy blinds and charging points, reading lamps and security lockers for each bed. Then there's the bar, the games (ping-pong, pool) and the attached Masaya Bistro for delicious Ecuadorian-international food throughout the day – and this is before you broach the topic of the nightly (and free) activities from dance classes to yoga to Spanish classes to live music.