This chapter looks at the role youth hostels play in challenging some of the destructive narratives of the Israeli-Palestinian context, narratives revolving around Othering, and demonisation of the Other. To understand the role of hostels in this regard, the authors use the concept of transformative dialogue to demonstrate how hostels assist in the formation of partnerships between previously hostile groups, and also how hostels provide a tourism forum for self-expression and exposure to divergent narratives of space. The chapter is a comparative case study using qualitative data gathered at 14 hostels over a period of six years. The findings of the chapter stress the remarkable achievement of youth hostels in the region in challenging hegemonic discourses of separation and abjection, despite the enormous difficulty in doing so.