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This is a good place to sleep. It has a good atmosphere. The only inconvenient thing is that it's an Irish hostel and the speak English there. They do know how to speak a little Spanish there, at reception. There are also in Cusco and Arequipa.
The Loki Backpackers is for those who want to meet people. The hotel which has a billiard room and a large bar, that sometimes works as a club, and a rooftop terrace. The capacity is really impressive and there are a lot of things to do karaoke style. Personally, I'm not a fan of this type of all-inclusive place, but when you stay a week in La Paz, it is always nice to go at least one night to the hostel bar.
Looking for accommodation in a brand new city can be very difficult. The first time I was in La Paz, all the hotels seemed to either be full of closed ... the taxi driver took me to the Hotel Millennium, which doesn't look too good from the outside, but once I got to my room, I found that I liked it a lot. It's simple and the service is great. Silvia, the owner, is very friendly and helpful, and helped me organise trips. The hotel is in a great, quiet location. Recommended.