This hostel is basic but adequate for a brief stay. I was only there for one night. Cost was only 20 Euros. My main reason for staying there was to have easy walking access to the Alhambra. It's in a perfect spot. You're on the road going up to the Alhambra plus you're a short walk to Plaza Nuevo and the Cathedral. Airport bus has a stop nearby (close to the Cathedral).
The room was very basic. No phone, TV with a sign on it that said "Out of Order". But the room was clean and the bed was comfortable. I was only in the room to sleep. There were plenty of things to see around the city to keep you out of the room.
The bathroom for two of the rooms in this hostel (including my room) have a private, locked bathroom across the hall. It's a very large bathroom with a full bathtub and shower. Plenty of hot water. It was a little inconvenient, but if you want a larger bathroom it may be worth asking for one of the rooms that has the private bathroom across the hall.
I never noticed any outside noise. The only noise I had to deal with was a room full of giggling teenage girls in the room next door. Reception was friendly, gave me a map of Granada and a nice map of the Alhambra. I was able to keep my luggage there until late in the day to catch my evening flight.
For a night or two this hostel is a great option.