Members Recommend
Very Good 1288 Reviews
Jetsetter Verified
This Hotel meets our standards
Our editors have been here and it has met our standards

What We Love

  • Looking out from the balconies over the beautiful San Sebastian Church
  • The bar's lengthy gin menu
  • Helpful staff has good in-the-area recommendations
  • Rooms have an inner door you can close to keep the noise from the corridor out

What To Know

  • If you need slightly more space, ask for one of the corner rooms
  • Built in 1808, the palace was designed by Jorge Duran with help from Juan de Villanueva (the architect behind the Prado)
  • Basic WiFi access is free of charge; premium access is $14 per day


  •  Babysitting
  •  Bar
  •  Free WiFi
  •  Gym
  •  Handicap-accessible
  •  Parking On Site
  •  Restaurant
  •  Spa
Disclaimer: This content was accurate at the time the hotel was reviewed. Please check our partner sites when booking to verify that details are still correct.
Dining Drink Eat property restaurant Suite Lobby condominium living room


Majestic neoclassical mansion with an intimate late night bar in Madrid's lively Barrio de las Letras

The Look

In the bohemian heart of Madrid’s Las Letras quarter, sandwiched between Calle Atocha and Plaza del Angel, NH Palacio de Tepa is a neoclassical mansion turned 85-room hotel with bags of character. The beautiful brick façade has been meticulously restored, and Ramon Esteve’s esteemed design studio is behind the clean lines and soothing gray palette of the interior. The calming marble-floored entrance has soaring ceilings; it was once an open thoroughfare for horses. There are huge round vases filled with flowers, and original cast iron columns fill the public areas. The extensive restoration revealed the site’s rich history, and there are 16th-century artifacts visible under glass panels behind the reception desk.

Bed and Bath

The 85 guestrooms are spread across five floors, and each features a collection of artworks by a different artist, from Javier Mariscal to Francesc Artigau. Light spills into the corridors from the central courtyard, and many of the rooms have balconies that look out over the San Sebastian Church. Each room is elegantly kitted out with polished wooden floors, white walls and soft gray leather headboards. Rooms on the fifth floor are under the eaves and feel like alpine lodges with their sloping wooden beams. There are two Junior Suites, one with vaulted ceilings, the other with a mezzanine floor, while all bathrooms are marble and stocked with luxe amenities.


Downstairs, Paco Roncero’s Estado Puro is a lively yet diminutive 32-seat lounge. It’s adorned with 980 flamenco dolls all dressed in red (apart from one central figurine in yellow), while the ceiling is decorated with hundreds of peinetas (intricate combs worn by female dancers). Guests and locals fill the bar, which is open until 2 a.m. and serves light tapas and an impressive selection of 35 gins. For more formal dining there’s the intimate à la carte Palacio de Tepa restaurant, which offers regional cuisine under the watchful eye of the two-Michelin-starred Roncero. Right next to the restaurant is the living room, which is stocked with books and magazines and provides a good central space to relax in while taking advantage of the free tea and coffee. Upstairs there’s a 24-hour gym and a room for a massage, manicure or haircut.

In the Area

There’s not much that isn’t in the area, such is the hotel’s super-central location. For an art fix, check out the Museo del Prado, the Museo Thyssen-Bornemisza and the Museo Nacional Centro de Arte Reina Sofia, which features works by Joan Miró and Juan Gris. For a change of pace head to the Hammam al Andalus Madrid, which is a candlelit den of hot Arabian baths built atop a century-old well in the Almudena neighborhood. If you’ve come to Spain to eat your bodyweight in tapas, make a beeline for Mercado de San Miguel; it’s full of counters piled high with olives, breads and Spanish hams, and you often get a glass of wine thrown in gratis. Don’t miss the burrata stall.

How to Get There

NH Collection Palacio de Tepa
Calle de San Sebastián 2
Madrid, 28012 Spain


4.5 Very Good 1288 Reviews
Worse of all hotels on Spain trip
Reviewed 3 days ago

Staying at the hotel currently and I have found it to be subpar thus far. We arrived after staying in Barcelona and Seville and had excellent stays in each of those cities. The staff at the other hotels greeted you when you walked in the hotel, actually from the curb. At this hotel, we were left to find the reception desk as we entered from a sliding glass entry door that required you to ring a bell. We had no idea this wasn’t the main entrance. Ultimately our bags were taken to our room and the bellhop was very good. The room is nice and was very clean upon our arrival. After a late dinner we returned to the hotel and greeted the person at the front desk reception with a very pleasant greeting — and received no response. If we hadn’t prepaid for our stay I would leave immediately. Not sure why we have received this non-treatment, but I will definitely never stay here again. It is not a great feeling to feel invisible. I am not a complainer and don’t have to stay in extreme luxury- but the way I am treated does matter. Zero stars.

Excellent choice
Reviewed 4 days ago

We just spent four nights with our granddaughter at this hotel. We know Madrid well but seldom we stayed in this area.The location is perfect You can walk to Puerta del Sol, Plaza Mayor and even La GranVia and Plaza de España, and find plenty of places to eat of all varieties and prices.
The hotel accommodations were excellent (we had a junior suite) and the staff was very helpful and gracious.At the reception desk Cristina was very helpful in trying to resolve an issue with our room preference. Overall I would recommend it if you are in Madrid for a few days and want to be in the Center.

Good location!
Reviewed 4 days ago

This hotel is located within walking distance of many restaurants, shops, and laundry service. The room is small but comfortable. The bathroom was too small with inadequate space to put your personal items or hang your towel. Ventilation is non-existent, it gets so wet from the steam. Rooms do not have an iron and ironing board. You have to call to get one. Housekeeping did a pretty good job. The hotel has a gym but it is small. Water and fruit are available.

Breakfast was included with our room. The breakfast buffet is limited, the same offerings daily, and mediocre. The only thing I enjoyed was the coffee. Improvement is needed in the service. Additionally, they have to cover the food as there was a huge fly standing on many items. I informed a server and he acted like it wasn't a big deal and did nothing to prevent the fly from standing on the food.

Great location--room type was not fulfilled
Reviewed 5 days ago

We were torn about where to stay in Madrid. We typically like to stay in luxury hotels in city center locations. With a family of four, we needed two adjoining rooms, as like most European hotels, 2 queens in a room (or even 2 doubles) is rare. We specified adjoining rooms and called ahead to verify our request. When we arrived, we were told we were "upgraded" to a better room category. Fantastic! Little did we know, the rooms were NOT adjoining. They were next to each other, but required keys, and did not have adjoining doors. Initially I did not think this would be a big deal, as our kids are 10 and 15. However, I still worried about them just being next door, it was a pain to have to use different keys to try to go next door and check on them, etc. Eventually we asked the front desk to "label" the keys with a code so we could tell them apart. Aside from that, the hotel was good. The rooms were a good size, the staff was warm, welcoming and spoke great English. When our private tour guide picked us up for a day of touring, he remarked that this was a "perfect" location for getting around the city. We found the location to be fantastic. And, while the nightlife outside our windows was a bit loud into the night, we were fine with it. Overall, very serviceable and we would stay again, provided we got the right room type.

Excellent Location and Beautiful Rooms
Reviewed 2 weeks ago

This was an incredible hotel. Very close walk (10 minutes) to the Plaza, San Miguel Market, and El Prado. Many restaurants, shops and parks close by. The hotel itself was wonderful, friendly and attentive staff, delicious breakfast, and unique experience as the Palace has been converted into hotel rooms. Each room has different features of the palace, including shuttered windows and arched ceilings. It was a very local experience and provided a glimpse into Spanish culture. We were welcomed with a dessert and water which were refreshing considering we had just traveled for so long. I would definitely stay here again.