Stayed at the Hostal Persal for 5 nights between Christmas and New Year, it was nothing less than perfect! Cost worked out at £37 per night for B&B.
More like a hotel than a hostal, it has a fully staffed beautiful glass doored reception with marble stairs and working lifts. Stayed in room 219 which was at the back and perfectly quiet; also a good size and very clean. Bed made up every day and towels changed on request.
A light bulb went out whilst we were there; we told the reception staff and it was replaced by our return later that day.
Breakfast was excellent and plentiful - buffet style; the breakfast staff were remarkably attentative, never letting any food or drink container fall below 2/3 full.
The location was spot on, being next to Plaza St Anna (still under re-construction, incidentally), and just 5 minutes walk from Plaza Mayor. The Sol metro is about 10 minutes walk.
I have filed reports under Restaurants also.
Highly recommended Hostal!

Pauline

[ 01-04-2002: Message edited by: MadridMan ]

Well I know where you meant Pauline! We stayed there a couple of summers ago and found it pretty much as you describe.One word of warning though-if youre going in Summer the rooms with aircon are the smallest Ive ever seen.Get a room overlooking the plaza so you can open your windows.

Hi Pauline!
Among many others, I visited Hostal Persal during my October 2000 trip and Angel gave me a complete tour of the place. You're right - it looks more like a hotel then a hostel (called "hostal" in Spanish). Their entry/lobby looks very posh and UNlike any hostel I've EVER seen. VERY nice. The dining area is REALLY impressive too. Their room prices are higher than almost all hostels and they look pretty typical as far as hostel rooms go, but the location really couldn't be better, right on the Plaza del Angel - which is just across from Plaza Santa Ana as you said.

Thanks to you and mick nick for the feedback!!

Saludos, MadridMan

Just made a reservation at the Hostal Persal for an overnight in March. It sounds great. Just have a question related to Pauline's comment about the reconstruction of the Plaza Santa Ana. We have reserved apartments at the Principe 11 Apartments in calle Principe near the Plaza Santa Ana for five nights at the end of our trip. Do you think the construction will be a problem for us? MM - Did you see the area when you were in Madrid over the holidays?

We just got back from three weeks in Spain. Spent our first night in Madrid at the Hostal Persal before continuing to Mijas for our first week's stay. The Persal was a great choice. Very friendly Reception staff. The room was tiny and the comfortable bed a very small double, but after traveling all night and most of the day, we slept well. I think if I had to stay there for a few days, I would definitely pay a little more for a room with two beds. It was pretty quiet too. The buffet breakfast was one of the best I have ever encountered in a moderately-priced hotel. We'd certainly recommend this hostal.
GG