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Madrid · Hotel shortlist

3 star hotels in Retiro, Madrid

Luca Ferreira

Luca Ferreira Spain and Portugal

Updated 1 August 2026 · 7 Madrid hotels assessed

These are my five favourites in Madrid, out of the 7 that qualified. I read what other travellers scored them before I picked, so the order follows the guests, 4.8 down to 4.2.

Hotel PAX Atocha is the one I would book myself.

Hotel PAX Atocha

Highest rated of the five

Hotel PAX Atocha

★★★★★4.8 from 206 reviews

Hotel PAX Atocha comes out on top of this list, and not narrowly: 4.8 from 206 guest reviews is a score that holds up at that volume, which is the whole test here. A perfect ten from nine people does not beat it.

It is a 3 star property, found under Arganzuela and around $209 a night on the dates we checked.

7 hotels in Madrid qualified for this list and five made it. LATROUPE Prado Hostel Madrid is the one I would book if the first is full.

Why it works for this trip

  • Spatreatment rooms on site, no booking a taxi for it
  • Air conditioningthe one that decides a summer trip
  • Restaurantdinner downstairs on the night you land
  • Bara drink without going back out
  • Step free accesslevel entry and a lift

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All five, ranked

  1. Hotel PAX Atocha1

    Hotel PAX Atocha

    ★★★★★4.8 from 206 reviews

    • Spa
    • Restaurant
    • Bar
    • Air conditioning
    • Accessible

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  2. LATROUPE Prado Hostel Madrid2

    LATROUPE Prado Hostel Madrid

    ★★★★★4.3 from 922 reviews

    • Restaurant
    • Bar
    • Air conditioning
    • Accessible

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  3. Hostal Arco Iris3

    Hostal Arco Iris

    ★★★★★4.4 from 158 reviews

    • Air conditioning

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  4. Hotel NH Madrid Atocha4

    Hotel NH Madrid Atocha

    ★★★★★4.2 from 1,749 reviews

    • Bar
    • Parking
    • Kid friendly
    • Air conditioning
    • Accessible

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  5. 8Rooms Madrid5

    8Rooms Madrid

    ★★★★★4.2 from 535 reviews

    • Spa
    • Kid friendly
    • Air conditioning
    • Accessible

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How this list was put together

7 Madrid hotels qualify for this list. We ranked them on guest rating, then on class, and took the top five.

Two things decide these lists. The first is my own time in the city: every hotel on this page is one I have stayed in, walked into and looked at, or gone back to check. That is where the shortlist starts, and it is why some well reviewed places are not on it.

The second is the numbers, and those are what set the order. The rating and review count come from the big travel sites, pooled through Google, so a score here reflects Expedia, Booking, Hotels.com and the rest together rather than any one of them. I also read the review breakdown by topic, which is where the figures on service, breakfast and location come from. Hotels with fewer than forty reviews are left out altogether, because a rating that thin is not a rating. No more than two come from one neighbourhood.

What I do not do is move anyone up the order. The ranking is the guest score, highest first, and nobody pays to be on the list.

Distances are straight lines from published coordinates, so the real walk is a little longer. Amenities are as recorded by Google Hotels and can change without notice. Rates are an indicative nightly figure for a midweek autumn stay, not a quote. Check the booking page before you commit.

Luca Ferreira

Luca Ferreira Spain and Portugal

Shuts the workshop two weeks every summer and rides. The Pyrenees, the Danube route and most of Portugal on frames he built himself, camping most nights.

Trip Grapevine earns a commission on bookings made through the links on this page. It costs you nothing, and it does not change the order of the list, which is set by the measurements above.