Big, Bad Berlin

Has to be one of the best Hostels in Europe and I've stayed at plenty of them. The colors are bright and cheerful, the rooms are nice. There’s a bar in the basement and a café on the ground level, and at least when I was there last, a kebab stand across the street.

It doesn't have the "homey" feel of some other hostels, but Berlin isn't a homey city anyway. The Circus is clean and modern and very upscale -- for a hostel that is!