Where to stay in Madrid: best areas analyzed

Staying in Madrid, compared to other cities in Spain, is slightly more expensive, but still cheaper than many other European destinations, especially if you’re travelling in groups of at least 2 or 3 people.

Madrid, despite being the capital of Spain, is an absolutely enjoyable and human-scale city, to the point where you can even get around on foot without needing public transport, as long as you stay in Madrid in the most strategic areas.

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So, in this article, we’ll see what are the best areas to stay in Madrid to be able to explore the city on foot or alternatively, if you’re traveling during peak times or with little advance, other areas well-served by public transport to stay in Madrid and save some money.

Map of the best areas to stay in Madrid

As always, let’s start with a map of the city to better understand what we’ll be talking about.


  • The area colored in red is the most recommended one for staying in Madrid (basically the most central), which allows you to visit the city even just on foot.
  • Purple area corresponds to the Chueca district. It’s also central and recommended for staying near the center, as long as you don’t mind residing in the most famous gay district in all of Spain.
  • The areas colored in yellow indicate other outlying districts you can consider for staying in Madrid if the previous ones are full. Here, however, you’ll need to consider taking public transport if you’re not tireless walkers.
  • Brown pins are the main streets/squares frequented day and night.

Let’s look at each area in more detail.

Center: Huertas, Gran Via, Lavapiès, Latina

The central districts, highlighted in red on the map, are the most suitable for staying in Madrid, remaining in the city center and allowing you to get around even just on foot without using public transport.

Despite being a large city, in Madrid you’ll never feel suffocated by traffic or smog. Green areas and parks are plentiful (Madrid is one of the cities with the largest parks in the world) and the downtown streets always have spaces for pedestrians or squares with various outdoor bars and restaurants.

Here you’ll also find most of the attractions to visit in Madrid, and the nightlife won’t disappoint either.

Just to give a few examples, staying in central Madrid allows you to reach the Plaza Mayor, the Puerta del Sol, the Gran Via (the city’s shopping avenue), as well as various squares or “barrios” full of typical restaurants or tapas bars, as you’ll find them in every district (like the Barrio de La Latina or Plaza Santa Ana highlighted on the map).

The city of Madrid isn’t always flat. The slopes, which start roughly from the edges of the red area, are never prohibitive, though.

If you can choose, opt for accommodations further east in the red area, so you’re closer to the airport train stops (much more practical than the metro): Recoletos and Atocha.

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Migliori Hotel in zona
City Center
For staying in Madrid in the central districts, there’s no shortage of alternatives for every budget and taste: by clicking here you can see them all on the map, I’ll list a few examples for each category:

  • Hostal Casanova: the place where I stayed: great location, cheap, very basic but clean; it has rooms with private bathrooms and is right in the center but on a characteristic side street so you can sleep peacefully and reach restaurants, bars, and central attractions in a few steps;
  • Hostal Alicante: a 2-star, budget-friendly but well-maintained, very central, a few steps from Puerta del Sol with rooms for 2-4 people with private bathroom, Wi-Fi, 24-hour reception, and room service available;
  • Petit Palace Cliper: a 3-star hotel that’s pet-friendly, just a step away from Gran Via, with very well-kept rooms for 2 to 6 people, free Wi-Fi, breakfast option, and free bicycles to explore the city;
  • Madrid Reina Victoria by Melià: a 4-star hotel in a 19th-century building in Plaza Santa Ana, a square that’s lively even in the evening with its bars and restaurants; complete with SPA, wellness center, gym, and airport shuttle;
  • Pestana Plaza Mayor Madrid: a 4-star property with classy furnishings a few steps from the central Plaza Mayor, with a gym, spa, wellness center, and soundproofed rooms.

Chueca

The Chueca district, in purple on the map, is a central district recommended for staying in Madrid and is famous for being the quintessential gay district of the city, if not of all of Spain.

I mention the Chueca district separately from the others in case someone, based on their preferences, may or may not want to stay in this area.

In the evening, the nightlife here consists almost exclusively of gay bars, sometimes hosting drag queen shows, whom you’ll easily see walking the streets of Chueca.

During the day, however, you won’t notice any difference compared to all the other city districts, and in fact, I recommend passing through at least once to visit, for example, the Mercado de San Antòn, one of Madrid’s various markets open daily where you can buy food or eat and drink right on site at the prepared stalls.

What to visit in Madrid - Staying in Madrid - Mercado de San Anton
Like in every Spanish city, Madrid also has typical permanent covered markets; there are many in Madrid, here’s a glimpse of the Mercado di San Anton
Migliori Hotel in zona
Chueca
By clicking here you’ll find the hotels and apartments available in the Chueca district, such as:

  • Woohoo Rooms Chueca: simple and modern rooms/suites for up to 4 people with excellent reviews, parking, and Wi-Fi.

Salamanca, Chamberì, Palos de La Frontera: the surroundings

Districts like Salamanca and Chamberì, in the yellow area to the north on the map, or Palos de La Frontera, in the yellow area to the south, are other pretty good areas for staying in Madrid, but I’d recommend considering them only if the center is already full or too expensive.

In fact, if you stay in these areas, you’ll need to take the metro to reach the center if you’re not tireless walkers.

By choosing Chamberì to stay in Madrid, you’ll be near the famous Templo de Debod or the Faro de la Moncloa, one of the tallest towers in the city from which you can see the entire panorama from above, while from Salamanca in the evening, you can more easily reach some nightclubs that are a bit out of the way, like the Opium and Clamores clubs.

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Migliori Hotel in zona
Surroundings of the center
If you want to stay in Madrid in the districts north of the center, here are a few places you might like:

  • Agorà Juan de Austria: a 4-star property with soundproofed rooms inspired by the figure of Don Juan of Austria, with parking, a bar, and Wi-Fi;
  • Leonardo Boutique Hotel: a 3-star hotel with modern rooms with Wi-Fi, parking, and 24-hour reception.

If you stay in the Palos de La Frontera area south of the center, you’ll be near the famous Atocha train station, a station that contains a large tropical garden inside, making it not even look like a station. Most long-distance trains depart from here, like the one to Toledo, another Spanish city half an hour away by train that I recommend visiting for a day during your stay in Madrid.

Other areas to stay in Madrid

As you’ve probably understood by now, there’s no shortage of opportunities in Madrid. But if you still can’t find satisfactory accommodation, or if last-minute prices aren’t kind, search for more alternatives following the metro lines to see accommodations near one of the stops so you can easily reach the center. 🙂

Where to stay in Madrid if you have a car?

If you’re traveling with a car, perhaps on a road trip through various cities in Spain, I recommend staying in Madrid in the yellow areas or in the areas closest to the outer edges of the red zone, where some side streets have street parking. Avoid booking right in the center because parking is hard!

And in any case, to clear up any doubts, send a message to the hotel you want to book asking about the parking situation.

Last but not least… if you’re only visiting Madrid during your trip, it’s not worth renting a car. You can indeed visit everything easily by using public transport, on foot, or possibly by renting a bike locally (which you’ll really appreciate if you want to explore the city’s huge parks!)… still don’t know what’s worth visiting in Madrid? Read the guide with a map on what to visit in Madrid!

Now that you know everything about where it’s best to stay in Madrid… also look for the cheapest flight with the box below!

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Fabio M.Author and Founder

I work in an airport and no, I don't have any flight discounts as people think :)
I work in IT and plan trips in my free time.
I created Always On Board to give you in one place all practical information you need to know before travelling: accommodations, maps, transport, attractions and scams to avoid.
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