Should not really be classified as a hostel, because it's not service-oriented in the way that a hostel is (i.e.: there is not on-site staff, amenities are minimal). It is basically what it claims to be: a bunkhouse. Given that, it's got a good amount of space, a decent location (though not as scenic as other places), good hot showers, and a suitable level of cleanliness. If you are looking for a dry place to spend the night on otherwise sodden Skye (and, as I spent most of my trip camping, the occasional dry night was most welcome), you could do worse.
Setup: one room consists of two multi-person platform bunks: a bottom bunk and a top bunk. These stretch the entire length of the room, accommodating about 6-8 people in each. Privacy is negligible. The other main room is the dining area, which is slightly bigger than the sleeping area. It has long communal tables and benches, and a couple of armchair/couches. Games and books. The kitchen is well equipped and large enough for a number of people to work in it at once.
I would recommend this place only if you're OK with roughing it a bit. It's not a hostel; instead, it's somewhere between a hostel and a camp lodge.