I stayed at hostal Nuria the 1st time we went to Madrid, it was ok, not luxury by any means, in fact very basic, and the toilets/washing room was not very nice, but it was fine for what we wanted, i.e a place to leave our bags and to sleep in. two of our party wanted to leave as soon as we got there because it was so basic, but we managed to eprsuade them to stay. They wouldn't stay agin though, but they are used to hotels. We ate in the dining room, which was ok, but only had breakfast one morning and saw the pamplona bull run on TV there. The people there seemed friendly enough.
We had to be out of the room every day by about 10/11am I think so that the cleaner could come in. (Not great when you didn't get back until the early hours!!)