There are hotels with history, and then there’s The Palace.
First opened in 1912 and commissioned by King Alfonso XIII, this grande dame of a property has seen everything from wartime operations taking place under its famous glass dome to Picasso checking in at its wooden-clad reception.
Recently added to the Marriott’s Luxury Collection, the hotel has emerged from a two-year restoration as a redefined address in the heart of the Spanish capital. The National checked in to see how a hotel this steeped in the past could hold up in modern-day Madrid.
History
The Palace Madrid has long stood at the crossroads of art, royalty and revolution. Built on the site of the former Palace of the Dukes of Medinaceli, it was one of Spain’s first luxury hotels and one of the most modern in Europe when it opened in 1912, offering private bathrooms and in-room telephones long before such amenities were standard. Its guestbook is impressive, having welcomed everyone from Marie Curie to Hemingway and Salvador Dali.
During wartime, the hotel served as a make-shift hospital, with its glass-domed lobby, which is now La Cupula bar and restaurant, providing one of the few reliable sources of light in the city, making it vital for surgical operations.
Now relaunched as part of Marriott’s The Luxury Collection, the hotel has been meticulously restored, with a clear reverence for its past. Key architectural elements including its floral exterior stonework, original marble floors and that storied dome made of 1,875 glass panels, have all been carefully revived. Corridors are lined with surrealist-inspired artwork and wool carpets patterned with mythical creatures, while public spaces nod to the past through oversized 16th-century Flemish tapestries and optical-illusion paintings that shift as you move past them.
The welcome
Service here is sharp and unfussy, delivered with the confidence that comes from a team that clearly knows its legacy. There’s a lot going on in the building, which buzzes with business travellers, locals attending events and plenty of tourists, but the atmosphere stays composed. Check-in was seamless and warm, with helpful staff on hand to guide and assist without hovering.
The room
I stay in a Palace Suite, which features a generous living area with a round marble-topped table ideal for working, a separate bedroom, a spacious bathroom with both bath and walk-in shower, as well as a large dressing area off the entry hall. A walk-in wardrobe offers space for a longer stay, and everything felt thoughtfully arranged.
Design-wise, the suite leaned into the Castilian glamour with greens, burgundy reds, velvet upholstery and intricate wall panels, especially in the overly ornate bathroom. It won’t appeal to fans of minimalism, but the richness of detail make you feel like you’re stepping into part of the hotel’s long-enduring story.
My favourite feature of the room is the small private balcony, discreetly tucked into the building’s architecture and hidden from street view, while offering sweeping vistas over the Neptune Fountain and the grand expanse of the Paseo del Prado. I did have to sign a waiver accepting responsibility if it was left unlocked, but it was worth it. The spot became my own quiet perch at dusk, perfect for a moment of stillness above the city.
The food
Dining here is centred around La Cupula, the restaurant and all-day bar beneath the hotel’s restored stained-glass dome. It’s a sociable space where breakfast meetings flow into long lunches and relaxed dinners. Chef Nuno Matos offers a refined menu featuring elegant plates and seasonal Spanish produce. I began with a delicate tomato and lobster salad (€26), followed by salted cod (€32) that was perfectly flaky and served with subtle flair. But it was the dessert stole that stole the show: churros with hot chocolate foam (€15), presented on an elevated platter alongside a generous mug of dipping chocolate. A playful, polished take on a Spanish classic.
The adjacent 27 Club, formerly the Museo Bar, is now a moody homage to the Generation of ’27 – a group of avant-garde Spanish writers and poets who helped shape the country’s literary golden age. Here, staff in white jackets serve up heritage-inspired mixed drinks in a setting where the walls are lined in artefacts, original guestbooks and art inspired by the hotel’s archives.
The breakfast scene
Breakfast is served under the dome at La Cupula, and it’s nothing short of excellent. Even for a seasoned hotel reviewer, this one stood out. The spread includes live egg stations, a ham carver slicing slivers of jamon iberico to order, and a buffet loaded with Spanish cheeses, cakes, fresh pastries, grilled vegetables, smoked fish and more. It’s sprawling but well curated, served in a space that feels grand without being overwhelming.
Hotel facilities
Despite its large size with 470 rooms and 20 event spaces, the hotel doesn't feel daunting. Public areas are filled with natural light and dotted with seating for reading, working, or people-watching. The hotel’s fitness centre has cardio machines and free weights, perfect for keeping your fitness on track. There’s also a solarium terrace with quiet spots for stretching out and catching some sun above the city bustle.
Family-friendly factor
This isn’t a property that’s explicitly geared toward children, but it is accommodating. Families would be comfortable in the spacious suites and larger rooms and the hotel’s central location makes sightseeing easy with little ones.
Accessibility and sustainability
Accessibility is well-considered, with lifts to all floors and adapted rooms available. Sustainability is evident in the hotel’s sensitive restoration approach and its continued use of local suppliers and traditional craftspeople.
Value for money
Rooms start from €450 ($524) per night. Check-in is from 3pm and check-out is at 12pm.
This review was conducted at the invitation of the hotel and reflects the experience at the time of stay. Services and details may change in the future.
