A complete guide to where to stay in Madrid (+ the best areas for first-time visitors and tourists, plus handpicked hotel recommendations in the city centre).
Madrid, Spain’s capital, sits right in the heart of the country. Even though it’s one of Spain’s largest cities, the main areas visitors explore are surprisingly compact and easy to get around. So choosing where to stay in Madrid isn’t as tricky as in Barcelona, for example. That said, some neighbourhoods are perfect for first-timers, while others are better to skip. In this guide, I’m sharing the best areas for tourists, plus practical tips to help you pick the right hotel and make the most of your stay.
Where I stayed in Madrid
Since it was my first time in Madrid, I wanted a spot within walking distance of both the Prado Museum and the Royal Palace. Being close to Atocha train station was also a must, as I was planning a day trip to Toledo. Plus, it makes getting to the airport via the Airport Express shuttle really easy. The east side of the city centre ended up being perfect. I could walk everywhere, and my hotel was just steps from tons of great restaurants and bakeries.
💖 My favourite hotel in Madrid: Room Mate Collection Alba
Perfect for: sightseeing – within walking distance of the Prado Museum, and right next to a metro station
What I loved: spacious boutique rooms, great breakfast spread
Check details & prices: Booking.com | Expedia
Madrid has no shortage of great hotels, so I have to admit I had a hard time choosing one. In the end, I went with Room Mate Collection Alba, because of its charming, spacious rooms and excellent location. The hotel was also quiet, which is a rare find in Madrid! I also loved the breakfast, which is not only delicious but served until noon, which is perfect if you like to sleep in. When I’m back in Madrid, this is definitely where I’ll stay again.
Readers’ most booked hotel in Madrid
Looking for a great hotel right in the heart of Madrid? Hotel Regina is the perfect choice – over 6,000 excellent reviews and just a few steps from the famous Puerta del Sol.
Hotel Regina – Most booked hotel
Perfectly located on Calle de Alcalá, just a few steps from the Puerta del Sol and Sevilla metro stations. You can literally walk everywhere – from the Royal Palace and the Prado Museum to the main shopping street, Gran Vía. The hotel’s restaurant serves delicious seasonal Mediterranean dishes, and breakfast is excellent. The rooms are cosy, with super-comfy beds and little extras (like Dyson hairdryers) that make your stay just perfect.
Where to stay in Madrid (My top picks)
- Centro – for first-timers (Hotel Liabeny – best hotel in Centro)
- Plaza Mayor – for sightseeing (Francisco I Boutique – best hotel near Plaza Mayor)
- Barrio de Las Letras – for nightlife (Catalonia Plaza Mayor – best hotel in Barrio de Las Letras)
- Best hotel near Atocha Train Station – Only YOU Hotel Atocha
- Best hotel near Madrid-Barajas Airport – Hotel Maydrit Airport
Tips for booking a hotel in Madrid
Book early – Madrid gets more tourists than Barcelona (I’ve always thought it was the other way around), so make sure to book your accommodation in advance to avoid compromising on location or price.
Public transport proximity – staying in a central location means most attractions are within walking distance. That said, spots like Santiago Bernabéu Stadium or Las Ventas Bullring are a bit farther out, so you’ll need the metro. My tip is to choose a hotel near a metro station for easy access to everything. Sol station is ideal, as it’s a hub where three metro lines and several train lines intersect.
Visiting the city for the first time? Check out my complete itinerary for 2 days in Madrid, with a map of the main attractions, most popular day trips, and the best tapas spots in town.
If you’re a light sleeper – Madrid can be noisy, with busy boulevards cutting through the city centre and plenty of nightlife. If you struggle to sleep and don’t care about the view, always request a room facing an interior patio instead of the street. Or at least ask for a room on a higher floor.
Centro – where to stay in Madrid first time
Madrid is a big city, but unlike Barcelona, the main tourist spots are pretty compact and easy to explore on foot. The city is divided into 21 districts, and each district contains several smaller neighbourhoods called barrios. Most visitors, however, spend the bulk of their time in just one district – Centro (the city centre).
If you look at a map of Madrid, Centro is exactly what it sounds like – the historic and geographic heart of the city. The district is roughly framed by a few major streets and tourist sights that act like natural borders. To the west, it stretches toward the Royal Palace, while to the east it reaches the Prado Museum and El Retiro Park.
Centro is officially made up of six barrios – Palacio, Sol, Embajadores, Cortes, Justicia, and Universidad. But if you check other travel guides or blogs, you probably won’t see these names mentioned. That’s because, while the official names exist, locals usually stick to the traditional, historic ones that really reflect each neighbourhood’s personality. So instead, you’ll hear names like Sol, La Latina, Malasaña, Chueca, Lavapiés, Barrio de las Letras, and the historic Barrio de los Austrias.
If it’s your first time in Madrid, the best place to stay is Centro. Since it’s a large neighbourhood, the ideal area is between the Royal Palace, the Prado Museum, the main shopping street, Gran Vía, and Calle de la Colegiata. This area covers three popular, non-official barrios – Sol, Barrio de las Letras, and Barrio de los Austrias. Sol is the heart of Madrid, centred around the iconic Puerta del Sol square, Barrio de las Letras is the Literary Quarter, and Barrio de los Austrias is the historic core of the city centre.
Centro is where you’ll find almost all the tourist spots you don’t want to miss, from the Royal Palace and the Prado Museum to the Almudena Cathedral. Also, the city’s main shopping street, Gran Vía, runs right through the district. And at the very heart of it all is Puerta del Sol, the iconic square where you’ll find the Kilometre Zero marker. This is the exact spot from which all of Spain’s roads are measured.
Don’t miss out! Book your Prado Museum skip-the-line ticket. With over 10,000 visitors a day, lines are huge – save hours and get straight inside.
Why stay in Centro for first-timers
- Centro is the ideal location for first-time visitors, since you can walk almost everywhere, including the Royal Palace and the Prado Museum
- Gran Vía, Madrid’s main shopping street, cuts straight through the city centre
- plenty of amazing restaurants are right at your doorstep – Taberna de Peñalver (the best paella in town), Casa González (amazing tapas), Santa Eulalia (for pastries and cakes) and Le Praliné (for brunch)
Best hotels in Centro (Madrid’s city centre)
Hotel Liabeny – Most popular 4-star
The location is absolutely perfect – just a few minutes’ walk from Puerta del Sol and several metro lines. Pretty much everything you might want to see or do is within a 10-minute walk of the hotel. The rooms are spacious and modern. And don’t miss the hotel’s restaurant, Lya67, where you can enjoy delicious traditional Spanish dishes.
Vincci The Mint – Best rated 4-star
Located right on Madrid’s main shopping street, Gran Vía, this hotel is a great base for exploring the city. Even though the street is always busy, the soundproofing is excellent, so you won’t hear the noise once you’re inside. The rooms are cosy and boutique-style, and some even come with a terrace overlooking the city. There’s also a great gastro bar on site, plus a rooftop terrace with a food truck and fantastic views over the Gran Vía.
Palacio de los Duques Gran Meliá – Most popular 5-star
Set in a beautifully restored 19th-century palace, this luxury hotel is just steps from the Royal Palace and the Teatro Real. The rooms are elegant and spacious, with interiors inspired by the work of Diego Velázquez. You can enjoy a small seasonal rooftop pool and a terrace with city views, as well as the hotel’s Thai Room wellness centre. And don’t miss the hotel’s restaurant, Jardín de los Duques, which serves delicious dishes inspired by traditional Castilian cuisine.
Four Seasons Hotel – Best rated 5-star
If you’re after a truly unique stay, the Four Seasons Hotel is the place to be. This iconic hotel is spread across seven interconnected historic buildings! And it even has a direct connection, through an impressive vault door, to the luxury shopping centre Galería Canalejas. The rooms are huge, and some even have terraces with stunning city views. There’s also a rooftop swimming pool and a beautiful spa with an indoor pool. For food, don’t miss Brasserie Dani for Michelin-starred dishes or Isa Restaurant for Asian street food.
Room Mate Macarena – Best 3-star
If you’re looking for a budget-friendly spot, Room Mate Macarena is a great choice. It’s right on the main shopping street, Gran Vía, so pretty much everything is within walking distance. The rooftop terrace is amazing, with panoramic views and a pool that’s perfect for cocktails. Plus, breakfast is tasty and served until 12 PM – ideal for a slow, leisurely morning.
Plaza Mayor Suites & Apartments – Best apartments
If you’re looking for extra space, Plaza Mayor Suites & Apartments has you covered. The apartments are spacious, come with a kitchenette, and each has a balcony or terrace with city views. There’s a reception, daily cleaning, and a grocery store just minutes away – super convenient for longer stays.
Plaza Mayor – best area to stay in Madrid as a tourist
You really can’t go wrong staying in Centro if it’s your first time visiting Madrid. Especially if you stay somewhere between the Royal Palace and the Prado Museum. That said, even though the area is very walkable, it’s about a 30-minute walk between these two famous sights. So, depending on exactly where your hotel is, you might find yourself doing a bit more walking than expected to reach some of the main attractions.
If you’re visiting Madrid mainly for sightseeing, one of the best places to stay is near Plaza Mayor, right in the heart of the Centro district. Ideally, you’ll want to be within a few minutes’ walk of Puerta del Sol. From here, most of the major sights in the Spanish capital are within about a 15-minute walk.
It’s also a really convenient base for getting around the city. Several metro and train lines intersect at Puerta del Sol, making it easy to reach places like Santiago Bernabéu Stadium and Atocha Railway Station. And you’ll be just a short stroll from Barrio de las Letras, famous for its restaurants, wine bars, and tapas bars.
Plaza Mayor is one of the most iconic squares in Madrid. It’s surrounded by red buildings lined with balconies, giving the square that classic Madrid look. Originally built in the early 17th century during the reign of Philip III of Spain, it has seen just about everything over the centuries. Back in the day, it hosted royal ceremonies, markets, bullfights, and even public trials during the Spanish Inquisition.
One of the best things about staying nearby is that you can see the square before the crowds arrive. It’s also a lovely place to start the morning. Grab a coffee and take a few quiet moments to admire the beautiful square before the city fully wakes up.
Why stay near Plaza Mayor as a tourist
- Plaza Mayor is the city’s most famous and central square, putting you within a short walk of many of the tourist sights
- The Royal Palace is less than a 10-minute walk away, while the Prado Museum is about a 20-minute stroll from Plaza Mayor
- just a few minutes’ walk from Plaza Mayor is the transportation hub Puerta del Sol, where several metro and train lines intersect, making it super easy to get around the city
- a short walk from the Barrio de las Letras neighbourhood, which is packed with wine and tapas bars
Best hotels near Plaza Mayor
Francisco I Boutique – Most popular 4-star
Just steps from both Plaza Mayor and Puerta del Sol, this hotel is an ideal base for exploring the city. There’s even a taxi stand right outside if you’d rather skip the walk. The rooms are a good size, modern and boutique-style, with super comfy beds.
Pestana Collection Plaza Mayor – Best rated 4-star
The Pestana Hotel occupies a stunning 17th-century Baroque building right on the iconic Plaza Mayor. There’s a rooftop pool with a bar that’s perfect for relaxing, and a spa with an indoor pool tucked into the old coal cellars. Café de la Plaza, the hotel’s restaurant, is a great place to enjoy traditional Spanish dishes. And if you can, book a room with a view of the square – it makes your stay extra special.
UMusic Hotel – Best 5-star
For a luxury stay, the UMusic Hotel is hard to beat. This unique 5-star hotel is set in a historic 18th-century building and even has its own theatre! You can relax at the rooftop saltwater pool with a cocktail in hand, or enjoy the piano bar. And don’t miss the hotel’s El Albéniz Restaurant, which puts a modern twist on classic Spanish cuisine.
Hotel Moderno Puerta del Sol – Best 3-star
Located right on Puerta del Sol, Hotel Moderno is a great budget-friendly pick. Even though the square is busy with tourists, the rooms are surprisingly quiet. Some of them even have a lovely terrace with city views – perfect for a morning coffee. Plus, the buffet breakfast is excellent.
Palacio Conde Miranda – Best apartments
For a bit more space and comfort, Palacio Conde Miranda is a fantastic choice. The property offers fully equipped designer apartments just steps from the famous Mercado de San Miguel. Check-in is easy, even if you arrive late, thanks to clear instructions sent by message. There are also luggage lockers available if you need to store your bags for a few hours after checkout.
Barrio de Las Letras – where to stay in Madrid for nightlife
Nightlife in Madrid is famous across Europe for starting late and lasting until sunrise. If you’re used to early dinners and quiet evenings, the Spanish capital might surprise you. Locals typically begin their night with dinner around 9 or 10 pm, followed by drinks at bars around 11 pm or midnight. Clubs usually don’t get busy until after 1 or 2 am, and many stay open until 6 am or even later on weekends.
If you’re planning a trip to Madrid and want to experience the city after dark, choosing the right neighbourhood can make a big difference. Some areas are packed with hipster cocktail bars and clubs, while others are more relaxed with wine bars and late-night tapas spots. Staying in the right district means you can walk back to your hotel after a fun night out instead of worrying about late-night transport.
The best area to stay in Madrid for nightlife is Barrio de Las Letras. This charming, compact neighbourhood is packed with tapas spots and cocktail bars. The nightlife here is concentrated around Plaza de Santa Ana, along Calle de las Huertas (which runs through the heart of the barrio) and on Calle de Echegaray and Calle del Prado.
Barrio de Las Letras is part of the Centro neighbourhood and sits right between Puerta del Sol and Paseo del Prado. It’s just a few steps from the city’s Golden Triangle of Art – the Prado, Reina Sofía, and Thyssen-Bornemisza museums. Also known as the Literary Quarter, this historic neighbourhood was once home to famous Spanish writers like Miguel de Cervantes and Lope de Vega. As you stroll through the streets, you’ll see quotes from their works beautifully embedded in the pavement.
If you check other travel blogs or hotel guides, you’ll often see neighbourhoods like Malasaña, Chueca, or La Latina recommended. But unless you’re in your 20s hunting for cheap cocktails or alternative nightlife, I’d suggest skipping them.
Malasaña is the city’s most hipster area, known for its vintage shops, graffiti-covered bars, and edgy nightlife. Chueca, on the other hand, is the heart of Madrid’s LGBTQ+ scene. La Latina is mostly residential, with very few hotels. It’s great if you’re after budget accommodation and a local vibe, but not ideal for first-time visitors. That’s why I recommend Barrio de Las Letras. It still has a lively nightlife, but in a more refined way – a perfect mix of culture, excellent restaurants, and a fun evening atmosphere.
I actually ended up staying in Barrio de Las Letras by accident on my first trip to Madrid. I was looking for a hotel near Puerta del Sol and not too far from the train station, and somehow ended up here. And I loved it! There were so many amazing restaurants just steps away, and I could walk to pretty much every major tourist attraction. Some of my favourite spots for cocktails here are Hemingway Gin & Cocktail Bar, La Santoría Cocktail Bar and Inclan Brutal Bar.
Why stay in Barrio de Las Letras for nightlife
- Barrio de Las Letras is the best area for nightlife – amazing restaurants, tapas, and cocktails are everywhere
- you can stroll to all the major sights, from the Prado Museum to the Royal Palace
- with Antón Martín metro station nearby, the rest of the city, including Atocha Train Station, is just a quick ride away
Best hotels in Barrio de Las Letras
Catalonia Plaza Mayor – Most popular 4-star
Just steps from the bars on Plaza de Santa Ana and Calle de las Huertas, Catalonia Plaza Mayor is the perfect base to experience the city’s nightlife. The rooms are spacious, comfortable, and quiet, with excellent soundproofing. Plus, there’s even free flavoured water in the lobby. For the ultimate experience, go for the Premium Double Room with a terrace and private pool!
Catalonia Puerta del Sol – Best 4-star
This hotel is set in a stunning 18th-century building, just a short walk from both Plaza de Santa Ana and Puerta del Sol. The rooms are spacious and quiet, even though the hotel sits on a busy street. Breakfast is delicious – and on weekends, you can enjoy it until noon!
NH Collection Palacio de Tepa – Best 5-star
Housed in a 19th-century palace that once belonged to the Earl of Tepa, the last Viceroy of Spain in Mexico, this hotel is full of history and charm. The rooms are luxurious and quiet, and some offer gorgeous views of the city, including the Church of San Sebastián. The buffet breakfast is delicious, and you can even order made-to-order hot egg dishes.
Hotel Miau – Best 3-star
Right on the famous Plaza de Santa Ana, Hotel Miau is a great choice if you’re travelling on a budget. The hotel itself is set in a charming 19th-century building. The rooms are small but comfortable and quiet, thanks to good soundproofing. Plus, the breakfast is decent and served in a dining room with its own outdoor terrace.
U-Sense Santa Ana – Best apartments
For a bit more space, U-Sense Santa Ana is perfect. This property offers stylish designer apartments right on Plaza de Santa Ana. Each apartment comes with a microwave, a washer and dryer, and a balcony with lovely city views.
Best hotels in Madrid near Atocha Train Station
If you arrive in Madrid by train, chances are your first impression of the city will be Atocha Train Station, the city’s main rail hub. From here, high-speed AVE trains connect Madrid to cities like Barcelona, Seville, and Valencia, making it a major gateway for exploring Spain.
Atocha isn’t just the largest railway station in Spain, it’s also one of the most unusual. If you step inside the old terminal, you’ll find something unexpected in the middle of a busy train station – a tropical garden with palm trees! It feels more like a greenhouse than a transport hub.
Atocha Train Station is in a pretty convenient location, less than a 15-minute walk from El Retiro Park, Museo del Prado, and Museo Nacional Centro de Arte Reina Sofía. That said, unless you’re only spending one night in Madrid, I’d probably recommend staying somewhere a bit more central and charming – around Plaza Mayor, for example. The area around Atocha is safe, but it’s not the most atmospheric part of the city. Plus, while you’re close to the Prado, places like the Royal Palace and the main shopping street, Gran Vía, are about a 30-minute walk away.
Still, if you have a very early train to catch or need the airport shuttle bus, staying here can be a very convenient option. Here are some of the best hotels near Atocha to consider for your stay.
Only YOU Hotel Atocha – Best 4-star
Located just a few minutes’ walk from Atocha Train Station, Only YOU Hotel is one of the closest hotel options to the station. Set in a beautiful 19th-century building on Paseo de la Infanta Isabel, it’s far from your typical railway station hotel. The rooms are modern, spacious, and surprisingly quiet. Plus, there are three great dining options on site – Sép7ima Rooftop Restaurant with fantastic city views, Trotamundos serving Asian dishes, and a fantastic in-house bakery.
Hard Rock Hotel – Second Best 4-star
Hard Rock Hotel Madrid is another great option near Atocha Train Station. The location is excellent – just across from Museo Nacional Centro de Arte Reina Sofía and close to the famous Golden Triangle of Art. The hotel features a seasonal pool with a sun terrace and a rooftop bar with fantastic views. Be sure to check out Sessions Restaurant, which serves delicious American-style dishes.
Hotel Sancho – Best 3-star
If you’re looking for a budget-friendly option, Hotel Sancho is worth checking out. It’s just a 10-minute walk from Atocha Train Station, and Delicias Metro Station, which takes you straight to Puerta del Sol on Line 3, is only a minute away. The hotel also has plenty of spots to relax, including a sun terrace, a cosy library, and a lovely garden.
Best hotels near Madrid-Barajas Airport
If you’re flying into Adolfo Suárez Madrid–Barajas Airport, you’re landing at Spain’s largest airport and one of the busiest in Europe. Located about 13 km (8 miles) northeast of the city centre, it’s your gateway not just to the capital of Spain but to the whole country.
The Madrid–Barajas Airport has four main terminals. T1, T2, and T3 are close together and mostly handle international and European flights, with shuttles connecting them in a few minutes. T4 (and its satellite, T4S) is modern and spacious, mainly for Iberia flights, with plenty of shops, restaurants, and a people-mover linking the satellite building.
Before booking a hotel, make sure you know which terminal your flight departs from, as these terminals aren’t really within walking distance of each other. Unlike some airports, there aren’t hotels right outside T1, T2, or T3 where you can just step off your plane and walk to your room. The only hotel actually inside a terminal is Aerotel Hotel in T4, but it’s very basic and mainly good for a short stay or layover.
Most airport-area hotels are in the nearby Barajas neighbourhood, about 10–15 minutes on foot from Terminals 1/2/3. It’s doable if you’re travelling light, but it’s definitely not just across the street. Walking from Terminal 4 takes longer (around 30–45 minutes) and isn’t very pleasant with luggage. With that in mind, here are the best hotel options if you need to stay overnight near Madrid-Barajas Airport.
Clement Barajas – Nearest to Barajas Terminal 1,2,3
Just a 6-minute taxi ride from Terminals 1, 2, and 3, Clement Barajas is one of the closest hotels to the airport. There’s no hotel shuttle, but an Uber or Cabify will get you there for around €15. If you prefer public transport, Barajas Metro Station is a 10-minute walk, and from there Line 8 takes you straight to the airport. Plus, the on-site restaurant, Urban Bistro, is fantastic!
Hotel Maydrit Airport – Best 4-star near Terminal 1,2,3
A bit further out, you’ve got Hotel Maydrit Airport. It’s just a short walk from El Capricho Metro Station, where the green Line 5 will take you straight into the heart of Madrid. The hotel runs a free shuttle from the airport, and the ride back costs about €5 (just make sure to book it in advance). Plus, there’s also a seasonal pool, sun terrace and a great restaurant.
INNSiDE by Meliá Valdebebas – Best 4-star near Terminal 4
If you need a hotel close to Terminal 4, INNSiDE by Meliá is a great choice. This modern hotel offers very spacious rooms and even an outdoor rooftop swimming pool! There’s also a free shuttle bus to Terminal 4, and if you arrive at another terminal, you can easily hop on the airport’s free inter-terminal bus. Plus, the hotel’s restaurant, Yatta, is excellent, serving a delicious mix of international street food and fusion dishes.
FAQs about where to stay in Madrid
The best area to stay in Madrid is the city centre (Centro), especially around Puerta del Sol, Gran Vía, or Plaza Mayor. This location puts you within walking distance of many of the city’s top sights, restaurants, and bars, making it ideal for a short stay or a first-time visit.
One of the best hotels in Madrid is Hotel Regina, located on Calle de Alcalá just steps from Puerta del Sol and Sevilla Metro Stations. Its central location means you can easily walk to top sights like the Royal Palace, the Museo del Prado, and Gran Vía. The hotel’s Mediterranean restaurant is also excellent.
For a short stay in Madrid, it’s best to stay in the city centre (Centro). Areas around Puerta del Sol and Plaza Mayor are ideal because you’ll be within walking distance of many major sights. If you want to be close to great tapas bars and a lively atmosphere, the Barrio de las Letras is a fantastic choice.
Not really. Salamanca is more of an upscale shopping and business area, not central for sightseeing. You’ll miss the charm and convenience of the city’s historic neighbourhoods like Sol, Barrio de las Letras, and Barrio de los Austrias, which are closer to the main attractions.
There’s only one hotel at the airport itself, Aerotel, located in Terminal 4. There are no hotels inside Terminals 1, 2, or 3. All other hotels are a short drive away, but none are within walking distance.
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