Aside from H-R Don Diego, does anybody have suggestions for hostales in this area? By the way, the link for Hostal Salamanca on this site is dead; I did a search, and the website seems to have vanished. Have found phone number elsewhere, but don't want to book without seeing photos or receiving personal recommendations. Thanks for your help!

I don't think this is the neighborhood for hostales. You'd be lucky to find even a few three-star hotels, though there are some here. If price is your criteria, stay somewhere else and commute to Salamanca/Castellana. Costs about 50 cents on the Metro/bus if you get the bono. Or walk. I do all the time.

Actually, I stayed at a 3-star there a couple of weeks ago (NH Balboa), since I got a very good Web deal. But no discounts available this time. I know that most hostales are not in this neighborhood, but this is indeed the neighborhood I need to be in, hence my question. I've found what appears to be a decent 2-star hotel, and that's what I'll go with. Thanks anyway.