Blue Mountains YHA
Time Out says
Meet like-minded travellers at this central backpackers' hostel.
It may not have the glamour of some of the glitzier Blue Mountains accommodation options, but the Blue Mountains YHA has got all the essentials and a great atmosphere to create new bushwalking buddies. It has a communal kitchen and barbecue area, a cosy reading room with a log fireplace, a games room and plenty of sweet, sweet WiFi. You can bunk with your buddies in a share room, or splurge on private digs, with a few rooms even boasting an ensuite bathroom.