We have always stayed at the Hotel Carlton and been very impressed with it. You can book through Orbitz for 73,00 euros a nite. If you have a car you will have to pay 11,00 euros to park it in the garage around the block but you can unload and load right in front of the hotel.
The rooms are new and clean plus excellent service. We have done the Parador pass in the past and always found that an excellent chance to stay in different places. On this last trip we also found an excellent and brand new hotel in the old city of Toledo, Hotel San Juan de los Reyes, for 70,00 a nite it's a great value. We have managed to get to Spain for last 8 years with this year getting 2 visits in. We have stayed 2-3 weeks per visit but for the last 3 years because of little ones limited most of our stay to the area everyone considers 'un-Spain',
Fuengirola but we enjoy it. We have also found a great town between Madrid and Malaga that we visit on every trip, Cazola, I think it's well worth a trip.
Enjoy your Trip.