This courtyard-like little square in the Niederdorf part of the old town is circled by bars and restaurants and is one of the meeting points in the evening. The old houses surrounding it set you back to mediaeval times and in hot nights the hustle and bustle give it an almost Mediterranean atmosphere. Either bring your own beer and sit down on one of the steps (affordable take-out beers available at Edi's Weinstube) or get drinks in one of the many bars (e.g. Nachtflug) around the square and get a seat in the outside bar areas. If you walk along Niederdorfstrasse from Central, turn right into the small alley after Hotel Adler to get to the square.
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