Plaza Santa Ana

SOme expensive places, some cheap places on this square.
Lively Vibrant and incrdibly pretty. Real locals come here for tapas in one of the many bars surrounding the square. you can still smoke inside in Spanish bars here so if you hate it, then sit outside.
I especially like Lateral, but i have tried ALL the restuarants here... all pretty much a safe bet.
You will see locals going in to the Teatro Espanol which is on the corner here, and a quite beautiful building, it looks ever so pretty lit up of a night.
This is where you would find me poodling around most nights in Madrid.
Only down-side is the recent addition of oriental massage people (hopefully soon to be moved on I am sure)...
If you are in a sexy mood and/or its sunset, go to the large white hotel (ME Reina Victoria Madrid) buildings' back entrance to the top floor in the elevator and have a drink in the rooftop bar. Lovely.

Plaza Santa Ana is a nice, small square in the old Center of Madrid, not far from the Puerta del Sol. There are many restaurants in this area, and even more excellent tapas bars. The atmosphere on the square is wonderful. I found it a much better place to hang around at than for example the Plaza Mayor.

Though it is small, it is full of terraces, and it isn't to warm during summer. Somehow the air finds its way between the surrounding buildings to cool it down a little. There is much entertainment here, musicians, performers, etc. and a statue of Garcia Lorca as well. The area of Santa Ana has long been the favorite area of many writers like Cervantes, Quevedo and Lope de Vega. The theaters "Teatro de la Comedia" and "Teatro Español" are found here as well.