I just returned from Spain and I would recommend Hostal Girona to anyone looking for an interesting, convenient hostal. 4 blocks off Plaza Catalyuna, 4 blocks off Gran Via. Very convenient to walk to most of the Gaudi architecture, a little bit off the beaten path.
The hostal is in an old building, antiques, nicely taken care of and the wire cage elevator is fun! Probably not a place of everyone, but great if you like nice, inexpensive, interesting places to stay. Some posts I found on the internet talked about the noise level with thin walls. We may have been there at a quiet time, but it was not a problem for us. The showers are not surprisingly tiny, much like showering in a packing crate!
Diana
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