Hugely popular with travellers, this 100-year-old riverside ryokan is an architectural treasure and an absolute steal. Japanese-style private rooms simply ooze history (book a river view), while the common areas are stylish and well-maintained. With a fully equipped kitchen, bicycle rental, helpful staff, and public and private onsen, K's is frankly the main reason to come to Itō. Book early.
The hostel shares the same architectural layout and fine carpentry as Tōkaikan next door (apparently the original owners were related); the difference being you can actually stay here.