Clean, spaceous, computer access, free wifi, 1 minute walk from the harbour area, very friendly and considerate staff. You can have cheap soda's or beers till the reception closes (around midnight). Everything was excellent!

Incredible noise levels from neighbouring karaoke bars. Smoke in the corridors seeping into the room. Fire exit being used as a cleaning cupboard. The sheets were stained, the mattress cheap sweaty smelly foam the room as basic as it could possibly be. The blanket resembled a dish cloth. And most importantly the wifi didn't work at all in the rooms. Staff didn't seem to have any interest in fixing any of these problems. This is Malaysia as it was about 10 years ago. Most of the decent cities in Malaysia have moved on, expect much better than this. Maybe not locally, all of the accommodation we tried in Sabah was really bad.

I only stayed in Sandakan for one night in between visiting Sukau and leaving for Lahad Datu and this hostel was a great option. It is well located, right in front of a mall with a supermarket and a few restaurant options.