Planning a trip to Madrid and not sure where to stay? We want to help by explaining which neighborhoods are the best and which hotels to consider. We’re Madrid experts, so you can trust we know the best hotels and where to stay in Madrid. Below, we sort Madrid hotels by neighborhood so you can scan options fast.
Madrid is a city of layers, with each central neighborhood revealing a new personality. From art-filled boulevards to trendy, winding streets, the right base makes all the difference. Here’s exactly where to stay in Madrid based on what you want from the trip.
Often called Madrid’s “old city,” the Austrias neighborhood centers around the majestic Royal Palace and the lively Plaza Mayor. This is where imperial history meets medieval lanes, creating a perfect blend of grand monuments and charming, tucked-away squares. If you’re deciding where to stay in Madrid for a first visit, Austrias is a bullseye.
Why Stay in Austrias
This is the quintessential Madrid experience. Staying here puts you at the epicenter of the city’s most famous landmarks, with an atmosphere that feels both regal and relaxed.
Walkable wonders: You can stroll through centuries of history, from the Royal Palace to Plaza Mayor, all on foot and without the hassle of traffic.
A sunset with a view: The viewpoints at the Royal Palace offer some of the most spectacular, uninterrupted vistas in the city.
An authentic flavor: You can easily wander from the grand squares to find classic taverns and local restaurants tucked away in side streets.
Hotels in Austrias
These central Madrid hotels keep you steps from the Royal Palace and Plaza Mayor.
Palacio de los Duques Gran Meliá ⭐⭐⭐⭐⭐
Rooftop Pool • Historic Garden • Luxury
A sophisticated stay combining heritage and high-end comfort, with a rooftop pool and unbeatable views just steps from Madrid’s Royal Palace.
Known as the “Triangle of Art,” Paseo del Prado is an elegant boulevard in the heart of Madrid. It connects the city’s three most important museums and is framed by beautiful fountains and the sprawling green expanse of Retiro Park. If you’re choosing where to stay in Madrid for art and green space, Paseo del Prado wins.
Why Stay in Paseo del Prado
This is Madrid’s art lover’s dream. Staying here means world-class museums are on your doorstep, but you’ll also find tranquil green spaces and striking architecture all around. These Madrid hotels put world-class museums and Retiro Park on your doorstep.
Museums on tap: From the Prado to the Reina Sofía, Madrid’s most important galleries are right at your fingertips.
A quiet escape in the city: Retiro Park and the Royal Botanical Garden provide a lush, tranquil setting to stroll and relax away from the urban bustle.
Less party, more polish: While it may not be known for its wild nightlife, the neighborhood provides a refined and elegant atmosphere for a relaxed evening out.
Hotels in Paseo del Prado
This area concentrates some of the most storied hotels in Madrid.
Mandarin Oriental Ritz Madrid ⭐⭐⭐⭐⭐
Luxury • Wellness Center • Michelin-Star Dining
A lavish escape with spa treatments, fine dining, and airy suites, it’s Madrid’s most iconic address for high-end comfort seekers.
Right in the heart of Madrid, Gran Vía is a mix of early 20th-century grandeur and modern-day excitement. Its sweeping boulevard is home to historic landmarks, department stores, rooftop bars, and constant street life. If you’re not sure where to stay in Madrid for theaters and shopping, Gran Vía is your sweet spot.
Why Stay on Gran Vía
Staying here is a high-energy experience. The neighborhood provides a prime location for shopping, theater, and nightlife, with iconic rooftops and architecture all around. You’re near some of the most iconic Madrid hotels with skyline terraces.
Big-city buzz: Between department stores, boutiques, and cafés, there’s always something happening.
Rooftops worth lingering on: Sip a drink while gazing at the skyline and sunset from one of Gran Vía’s many terraces.
Nights out made easy: Theaters, bars, and rooftop terraces are all within steps of your hotel.
Hotels on Gran Vía
Our favorite Madrid hotels on Gran Vía pair skyline views with prime shopping.
Vincci Capitol ⭐⭐⭐⭐
Art Deco • Terrace Views • Great Location
A stylish, Art Deco-inspired hotel on Gran Vía that offers impressive city views from its unique roof terrace.
Chueca is a central Madrid neighborhood known for its progressive, inclusive spirit. This area was revitalized by the LGBTQ+ community and is now a hub of unique boutiques, art galleries, and funky cafés. It’s the perfect place for a friendly, energetic stay with a distinctly modern Madrid feel. It’s also home to some of the most creative hotels in Madrid.
Why Stay in Chueca
Staying in Chueca offers an experience unlike anywhere else in Madrid, blending a welcoming atmosphere with a flourishing arts and dining scene.
Artistic energy: Wander through numerous galleries and small shops, discovering new artists and one-of-a-kind designer pieces.
Unbeatable dining: The neighborhood is a foodie haven with a great variety of restaurants, including options for vegans and those with food intolerances.
A lively buzz: Its well-earned reputation for non-stop energy means you’ll always find a lively bar or café, but it might not be for travelers seeking total peace and quiet.
Hotels in Chueca
Expect stylish, social Madrid hotels with rooftop energy and creative dining.
The Principal Madrid ⭐⭐⭐⭐⭐
Rooftop Views • Cocktail Bar • Wellness Suite
A stylish 1917 palace turned boutique hotel, blending haute cuisine, wellness, and city buzz right at Madrid’s cultural heart.
Malasaña is located just to the north of Gran Vía, but has a completely different feel with its counter-culture roots. The neighborhood is a maze of narrow streets filled with vintage shops, unique restaurants, and alternative bars. It’s a great option for travelers who prefer a slow-paced, artsy vibe by day and an exciting social scene by night.
Why Stay in Malasaña
Malasaña is perfect for those who want a less traditional experience. Its location is convenient, but its character is distinct, offering a truly local and exciting stay. The area has fewer big chains but plenty of character-rich hotels in Madrid.
Culinary adventure: The area is the perfect place to sample a range of international cuisines, all with a delicious local twist.
Nightlife central: Enjoy a legendary night out, as the neighborhood is famous for its nightlife scene.
More local, less touristy: The neighborhood doesn’t have a lot of big hotels, which makes the area feel more authentic and less tourist-heavy.
Hotels in Malasaña
These Madrid hotels ensure nightlife and cafés are right outside your door.
Hotel Life Gran Vía ⭐⭐⭐
Tropical Garden • Private Parking • Central Location
A great value stay, offering an urban oasis with a tropical garden and a location within walking distance of famous museums.
More than just a football landmark, the area around Santiago Bernabéu Stadium is a modern district of sleek skyscrapers and wide avenues. It’s a completely different side of Madrid that showcases the city’s contemporary urban landscape and business prowess. The neighborhood is a safe and convenient place to stay for those who prefer an upscale feel over historic charm.
Why Stay in the Santiago Bernabéu Stadium Area
The area is a fantastic alternative for a different kind of trip. It’s a very easy place to get around and offers a unique view into Madrid’s modern lifestyle.
Football fanatic heaven: The world-famous stadium is right at your doorstep, offering tours and the chance to see a game.
Sleek and sophisticated: The area is filled with great restaurants and modern architectural marvels like the Four Towers Business Area.
Away from the chaos: The distance from the main tourist sights means you won’t be in the middle of a crowd, but a quick and safe ride on the metro gets you to any attraction in minutes.
Hotels Near Santiago Bernabéu Stadium
Business travelers and football fans alike will find some great Madrid hotel options here.
H10 Tribeca ⭐⭐⭐⭐
Industrial Design • Mediterranean Food • Close to Stadium
A New York-inspired hotel with trendy industrial design and a Mediterranean restaurant, perfect for exploring the stadium and other surroundings.
Choosing where to stay in Madrid is all about your travel style.
Most walkable:Austrias and Gran Vía are the best choices for travelers who want to explore on foot and be right in the middle of the action.
Romantic couples: Choose Paseo del Prado for its elegant atmosphere, luxury hotels, and proximity to peaceful gardens and museums.
Artistic/bohemian vibe:Malasaña is the ideal spot for its indie shops, cool pubs, and an authentic, young local feel.
Football fans: Head to the Santiago Bernabéu area to be close to the iconic stadium and enjoy a modern, big-city atmosphere.
Nightlife lovers:Gran Vía and Chueca are filled with rooftop bars, theaters, and clubs that come alive after dark.
Families: Austrias and Paseo del Prado are great options for families, offering a mix of parks, quiet streets, and historical sights.
Best Tours and Experiences in Madrid
Think of a guided tour as the ultimate cheat code for Madrid. Instead of just seeing the sights, a local expert lets you in on the city’s secrets, from the best hidden tapas bars to the scandalous history behind its grandest palaces. It’s the fastest, most fun way to unlock Madrid’s full potential and make your trip unforgettable.
Madrid in a Day with Prado Museum and Royal Palace
8 Hours • €€
Discover the hidden gems of the Spanish capital with skip-the-line tickets to the main attractions.
Don’t stay in purely residential districts like Vallecas or Usera. While they are connected to the city center via metro, they are a long ride away from all the major sights. The atmosphere is purely local, with very few restaurants or services for tourists, and you may find yourself feeling isolated and spending a lot of time commuting.
Where To Stay in Madrid FAQs
What is the best area to stay in Madrid for a first-time visitor?
If you’re choosing where to stay in Madrid on your first trip, Austrias (Old Town) is the best option. It provides a central location and is walkable to all major historic landmarks like the Royal Palace and Plaza Mayor.
Is Madrid a walkable city from the city center?
Yes, central Madrid is highly walkable. Neighborhoods like Gran Vía and Austrias are compact, making it easy to explore the city’s main sights, restaurants, and shops on foot.
Where should I stay in Madrid for nightlife?
For nightlife, stay in Malasaña or Chueca. These neighborhoods are known for their bohemian pubs and clubs, while Gran Vía offers iconic rooftop bars with stunning city views.
Are Madrid hotels expensive?
Madrid offers accommodations for every budget. While you can find luxurious 5-star hotels in Paseo del Prado, budget-friendly options like guesthouses and apartments are available in areas like Malasaña.
Is Madrid safe to visit for tourists?
Madrid is considered one of the safest major cities in Europe. The main tourist areas and central neighborhoods are well-lit and crowded well into the night, making it very secure.
What’s the best neighborhood in Madrid for families?
For families, Paseo del Prado and Austrias are great choices. They offer a safe and relaxed atmosphere with easy access to parks, museums, and historical attractions.
Do I need a car to get around Madrid?
A car is not necessary in Madrid. The city has an excellent public transportation system, and the central neighborhoods are so walkable that a car would be a hindrance rather than a help.
What is the most unique area to stay in Madrid?
The Malasaña neighborhood is Madrid’s most unique area. It is known for its cool indie vibe, trendy shops, and a very laid-back, creative atmosphere that feels distinct from the rest of the city.
Where are the luxury hotels in Madrid located?
Madrid’s most luxurious hotels are concentrated in the elegant Paseo del Prado and historic Austrias neighborhoods, offering high-end service, fine dining, and prime locations.
Final Thoughts
With so many fantastic neighborhoods to choose from, picking a place to stay in Madrid is about more than just a hotel; it’s about choosing your adventure. By matching your vibe to your location, you will be perfectly positioned to enjoy the city’s world-class art, legendary nightlife, or historic charm.
