I am not a backpacker and this place is noted in Lonely Planet as 'mid range'. I wouldn't say that. It is (good) backpacker style accomodation and reasonably priced. That said, I liked it. Most of all, the front desk is very, very helpful (thank you Dorothy and Carolina for all of your help).
I was in chalet 4. It is small and has a shared bathroom. I felt like I was transported in some LSD trip to Switzerland, but a hispanic, and slightly warmer one.
It's all about sharing kitchens, spaces and conversations at Kap's place. Lots of internet access and a decent little breakfast.
Try the great vegetarian restaurant at the end of the street and Isabel's ust up the road too - nice little sodas.