The black facade suggests you've arrived at an art-house cinema, but this is KAG, shaking things up in the Kurashiki hostel scene by offering designer digs at budget prices. Roomy dorm beds have privacy curtains, and the cafe/bar/live music/exhibition space downstairs is one of the best places to hang out in town, though it's noisy until midnight.
Hostel KAG
Top choice in Western Honshū