About

At Dreamy, it’s more than just a place to sleep — it’s a place to feel at home.

Set in the heart of Arugam Bay, just minutes from world-famous surf beaches, everything you need is close by — whether that’s ocean time, yoga, cafés, or local shops. No matter what pace you’re travelling at — slow, social, or somewhere in between — there’s space here for you to do your trip, your way.

We’ve created a relaxed and welcoming space where it’s easy to settle in. Our dorms are clean, comfortable, and fully air-conditioned, with individual lockers for your peace of mind.

Onsite, you’ll find our café and bar — the perfect spot to start your day with good coffee and fresh food, or wind down in the afternoon with a drink and good company.

For those keen to get in the water, we also offer surf lessons, and throughout the week we host our family dinners — a simple, social way to connect with other travellers and share a meal together.

Our team love helping out with local tips, surf spots, or anything that makes your time here feel effortless and exactly how you imagined.

Come make yourself at home.

House Rules

Check In

12:00 - 23:00

Check Out

until 11:00

  • Taxes Not Included
View House Rules

Facilities

  • Free Parking
  • Free WiFi
  • Free Security Lockers
  • Bicycle Parking
  • Airport Transfers
  • Luggage Storage
  • 24 Hour Reception
  • Tours/Travel Desk
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Reviews

9.5Superb(33)
  • Value for Money
    9.6
  • Security
    9.7
  • Atmosphere
    9.4
  • Cleanliness
    9.6
  • Staff
    9.4
  • Location
    9.4
  • Facilities
    9.1
Summary of traveller reviews

Dreamy Hostel Arugambay offers a fantastic vibe and is praised for its friendly and helpful staff, great atmosphere, and excellent location close to the beach. Guests enjoy the social areas and delicious pancakes. Some recent feedback mentions issues with air conditioning and Wi-Fi, and a lack of staff availability to resolve problems.

Stayed in Jul 2026
9.4
V
Victor
Male, 25-30, France
Very nice hostel with cool vibes and kind staff! The outdoor space is nice too and the hostel organise a lot of events!
Stayed in Jul 2026
9.4
A
Anonymous
Male, 31-40, Australia
very clean hostel, helpful staff, family dinners and a great communial hang out area for drinks and dinner. Good central location close to everything
Stayed in Jul 2026
10
S
Sascha
Female, 18-24, Netherlands
Very helpful hostel!! Clean and great workers !!!
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Location

100 Ali Cross Rd, Arugam Bay, Arugam Bay, Sri Lanka
0.8km from city centre