This is definitely the best hostel that I have ever stayed in! The place has this quaint little charm to it, and is very clean. I just loved the decor of our room - we felt like Venetians during our four days stay there :) The neighborhood is great, with good shops around - a nearby corner shop selling self-made, cheap wine, a nice restaurant called Osteria Alberto and a breakfast place called Bar Al Campiano are our daily haunts. The location is superb too, just a 10 mins walk to the Doge Palace.
Another thing that makes the stay so enjoyable was the absolutely helpful staff (Alberto). He was extremely patient (with us asking for several recommendations...whether it's a better idea to go to Pisa on the way or from Florence, where to get good squid ink spaghetti, where do locals usually eat, etc) and resourceful. Questions that he doesn't know the answers to, he will take the initiative to find out from the net for us, and that has made all the difference in our stay. Our Venice experience was definitely enhanced by by opting to stay here.
ps: one thing though, try to take the water taxi if you disembark near the main bridge of Venice. We walked from the bus station to the hostel which was not a good idea, since it took us approx 1 1/2 hours due to the uncountable number of small little lanes in Venice.
