The typical Excelsior-class starship has a lounge set in the aft of deck 2 (often called Two Aft by many crews). However, due to its extensive use as the "admiral bus" and time spend ferrying ambassadords and other functionaries between planets and starbases, the Hood's lounge was upgraded and replaced to serve as a place for formal dining and hosting.
Called "The Stateroom", this dining hall boasts some of the most skilled chefs in all of Starfleet. However, the extremely formal atmosphere and strict protocol of the Stateroom means that many of the ship's crew tends to avoid gathering here unless their duties demand it.