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We had a great stay at this hostel. It was quiet and relaxing, there were plenty of shops within walking distance and a nice beach down the road. The highlights are the hiking paths nearby; one takes you around the Lagoa to a freshwater pool under a waterfall and another takes you do a secluded beach.
I've been travelling alone. Thankfully, all the staff were very friendly and helpful - they really made me feel welcome and included. Very relaxed and sociable atmosphere. And a cute bulldog that sticks it's tongue out when it sleeps, lol. It also has an excellent location - bus stop right out the front, and a short walk to some very nice beaches. I'm going to try and make another visit - highly recommended!