Dali Old Town Rainbow Hostel

Dali Old Town Rainbow Hostel is a backpacker-oriented guesthouse inside the ancient walled city of Dali in Yunnan, positioned on Huguo Road, the main commercial street running north–south through the historic district. The hostel is a five-minute walk from the South Gate and within easy reach of Dali's café strip, the Bai market stalls, and the Three Pagodas (Chongsheng Temple complex), Yunnan's most photographed landmark, which lies approximately two kilometers to the north. Cangshan Mountain's hiking trails are accessible on foot from the western edge of the old town, and Erhai Lake is a 30-minute bicycle ride to the east.

The hostel building is enlivened by colorful murals across its exterior and interior walls — a signature characteristic that makes it immediately recognizable within the old town's predominantly white-and-grey Bai streetscape. A central courtyard serves as the main social area, with tables, benches, and hanging plants creating a relaxed atmosphere for meeting fellow travelers. The rooftop café, one of the hostel's most popular features, provides views over the old town's tiled rooftops toward both Cangshan Mountain in the west and Erhai Lake glinting in the east on clear days.

Accommodation consists of 4- and 6-bed dormitories and basic private rooms. The hostel's bicycle rental operation is extensive and well-maintained: hybrid bikes, mountain bikes, and electric bicycles are available by the half-day or full day, with staff providing detailed route suggestions for the Erhai ring road circuit, a popular 60-kilometer day ride. Organized group transport to the Bai weaving village of Zhoucheng, the Xizhou market, and the Shibaoshan rock temples is available at reception. The communal atmosphere, combined with on-site bicycle hire and knowledgeable staff, makes Rainbow Hostel a natural base for exploring Dali and the wider Erhai Lake region.