The quake was felt across Taiwan, and some buildings and roads in Hualien, in eastern Taiwan, were damaged.
Some people in Taiwan are still scarred by a 1999 quake with 7.6 magnitude whose impact was felt across the island and in which more than 2,000 people died.
Hualien is a popular tourist destination on Taiwan's eastern coast and home to about 100,000 people.
The large building in Hualien looked very close to collapsing completely.
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Another building also collapsed in Hualien, it added, but did not say whether any people had been trapped there. The video shows people gathering near the building and shining flashlights on windows.
Local media reported a number of buildings had toppled with around 30 people trapped in the collapsed hotel.
Hsu Kuo-Yung said the railway department hasn't given a full status report of the damage yet but he said it seems the railways have not been damaged much.
Clarke said everyone in the hostel is out and there have been a couple of aftershocks.
In addition, two bridges in the area were damaged and have been closed, Lin said. The quake's epicentre was around 15 kilometres (nine miles) north of the port city of Hualien at a depth of around eight kilometres, the United States Geological Survey (USGS) added.
Most of the deaths from the February 2016 quake were from the 16-story Wei-kuan apartment complex, which toppled on its side with many of its residents buried in the rubble.
Other buildings shifted on their foundations and rescuers used ladders, ropes and cranes to get residents to safety.
The 6.1-magnitude quake that hit Taiwan Feb. 4.
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The island's worst tremor in recent decades was a 7.6- magnitude quake in September 1999 that killed around 2,400 people.
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