The Palace Hostel is located amongst historical residences in the Miramar neighborhood. It is minutes away from the new state of the art Puerto Rico Convention Center, the Isla Grande Airport (for domestic flights) and the Pan-American Cruise Pier. It is 15 minutes walk to the beach.

The hostel is comprised of 8 rooms equipped with memory foam beds and air conditioning. Security windows and keyed doors are available on each room. An internet cafe or Wi-Fi hotspot and access to the television common area with a movie library are available in the property. A staff is also on-site 24-hours a day.

The Palace Hostel was founded by experienced world travelers with knowledge of the needs and desires of the typical hostel guest. With the expertise gained from visiting hostels in over 60 countries. The newly renovated facilities were designed by a famous local architect to include two large indoor common areas, three outdoor social areas, an outdoor dining area and two kitchens.