Plaza Mayor & Old Town

Madrid's Plaza Mayor is the city's grandest square — a closed rectangle of three-story arcade buildings with 237 balconies, built 1617–1619 under Philip III (whose equestrian statue stands in the center). Bullfights, executions, coronations, and carnival festivities took place here. Today, Plaza Mayor is primarily atmospheric: street performers, stamp market on Sunday, Christmas market in December.

The restaurants under the arcades are touristy and overpriced — Bocadillo de Calamares (squid ring sandwich, Madrid's most famous street food) is better and cheaper at La Campana or El Brillante in a side alley.

Around Plaza Mayor

• Mercado de San Miguel ★★ — The cast-iron market hall (1916) next to Plaza Mayor has been converted into a gourmet passage: oysters, Ibérico ham, wine, Tapas. Pretty, but expensive and touristy (Tapa €4–€8). Still worth a visit, especially in the evening.
• Calle de Cuchilleros — Madrid's oldest street leads steeply downhill from Plaza Mayor. Here lies Sobrino de Botín — according to the Guinness Book, the oldest restaurant in the world (since 1725). Suckling pig and lamb from the wood oven. Main course €22–€35. Reservation required.
• La Latina & Cava Baja ★★★ — Just a few steps south of Plaza Mayor begins Madrid's best Tapas mile. Cava Baja is an alley full of taverns, bodegas, and wine bars — here you hop from place to place in the evening. On Sundays, La Latina transforms into a single folk festival during the Rastro (flea market, 9:00 AM–3:00 PM).