We stayed 2 nights as a family of 4 (2 adults, 2 teenagers).
Pros: great location, clean, friendly staff and great breakfast. Rooftop terrace is lovely with excellent views of the hang gliders. Very convenient to have laundry facilities on site.
Cons: well, it's a hostel...rooms are very basic. Family room 14 was exceptionally noisy because it sits above the main floor lounge/bar area, and beneath the bathrooms above it. Walls are thin and we could hear other guests stomping around all night long. Beds are also squeaky (esp the bunkbed), and pillows are flat and lumpy.
Overall felt overpriced and not a great value for money. Probably not somewhere we'd stay again as a family but I'm sure it's a good hostel for travelers who are seeking that type of accommodation.