Palau's first dedicated backpacker hostel offering dormitory beds and private rooms at the lowest prices in the country. Communal kitchen, common room, and free WiFi attract budget travelers. The friendly owners help arrange affordable group tours and dive packages.
Palau Hostel and Backpackers operates in downtown Koror and holds the distinction of being Palau's first accommodation built specifically for budget-conscious independent travellers. Its central location places guests within walking distance of Koror's main strip of restaurants, dive operators, souvenir shops, and the public ferry dock for Rock Islands day trips.
The property offers a mix of dormitory beds in shared rooms and private double rooms with shared bathrooms, covering the full range of budget travel preferences. Dormitory bunks come with individual reading lights, power sockets, and under-bed storage. Lockers are available for securing valuables. Private rooms are simply furnished with a fan or air conditioning and access to the communal bathrooms on each floor.
A fully equipped communal kitchen allows guests to prepare their own meals — a significant cost saving in Palau, where restaurant dining is relatively expensive for a Pacific island destination. The common room has comfortable seating, a television, and serves as a social hub where travellers exchange tips on cheap tour options and dive courses. Free WiFi is available throughout the property.
The front desk staff are well-connected with local dive operators and can arrange group dive packages and snorkelling day trips at reduced rates compared to walk-in prices. Bike rentals and a laundry service round out the amenities. The hostel draws a mix of solo travellers, divers completing open-water courses, and overlanders passing through. The social atmosphere and rock-bottom prices make it the default choice for budget-minded visitors to Palau.
Amenities
- dormitory beds
- shared kitchen
- free WiFi
- common room
- lockers
- tour desk
- laundry
- bike rentals
Location
Downtown Koror, Palau 96940
7.3440, 134.4810 View on map
Highlights
- Palau's first purpose-built backpacker hostel, centrally located in downtown Koror
- Both dormitory beds and private rooms available at the lowest accommodation prices in the country
- Communal kitchen for self-catering — a major cost advantage in expensive Palau
- Staff arrange budget group dive packages and snorkelling trips at negotiated rates
- Common room social scene makes it easy to find travel companions for tours
Tips for visiting
- Book private rooms well in advance during the November–May dive season, as they sell out before dorm beds.
- The communal kitchen is well-stocked with basic condiments and cooking utensils — bring food from the nearby Koror market to cut meal costs significantly.
- Ask staff about group discounts on dive packages; forming a group of four or more at the hostel usually unlocks a better rate.
- Lockers in the dorms require a padlock — bring your own or purchase one at the hardware store two blocks away.
- Bike rentals from the hostel are the cheapest way to explore Koror and reach nearby beaches independently.
When to visit
Year-round, though the November–May dry season brings the largest concentration of divers and travellers.
Accessibility
The hostel is in a multi-storey building without a lift. Guests with mobility requirements should enquire about ground-floor room availability.