This place pushes all the right buttons. It's superfriendly, spotless and has some of the biggest bunk spaces in Taipei, each equipped with a small desk and locker. Women-only and mixed dorms have tons of room for luggage, and there's a lounge with a small stage for live music. The only downside is it's all underground, so no natural light.
This is as central as you can get, just round the corner from Exit M8 of Taipei main station.