Casa de Arena, Huacachina
Like most of the places to stay in the oasis of Huacachina, Casa de Arena is a very chilled-out resort-slash-hostel affair, with a nice swimming pool (a bit cold this time of year), a poolside bar, and a buffet BBQ every night (not only with all-you-can-eat chicken and salad, but also all-you-can-drink Pisco Sours and Cuba Libres!). Pretty good value, too — as evidenced by the abundance of (stoned) Israelis that stay there. Not sure when I'm going to leave this place, but it ain't anytime soon. :P
Pool and bar area of Casa de Arena — oh, what a hard life it is, spending a week here!
Rooms: 15-person dorms are spacious and airy, and the beds are comfy enough.
People: everyone's in resort mode here — as with everywhere in Huacachina, almost everyone is also stoned — so yeah, everyone's yer friend.
Staff: very friendly, very talkative, and most can speak good English, as well as Hebrew that's better than mine. However, nadie tiene nada cambio (lit: "none of them have any change").
Location: Huacachina's tiny, and it's inside it. 'Nuff said.
Food / Internet: no free food, but the s/5 breakfast is decent enough, and the s/20 buffet BBQ is shweetissimo. No Internet, but the only 'Net café in town (total ripoff — s/3 per hour) is across the road.
Hot water: reliable, but not enough showers (for those in the dorms — many rooms with private bathroom are available) — 6 more are currently under construction.