A Historic Retreat

Tucked into the heart of Madrid’s Barrio de las Letras, NH Collection Madrid Palacio de Tepa offers more than a place to stay — it offers a sense of history you can feel in the very walls. Set within a historic palace completed in 1808, the hotel gracefully preserves its noble heritage, where original architectural elements and elegant period details quietly coexist with contemporary comforts.

Originally built as the residence of the Count of Tepa, the neoclassical palace was designed by architect Jorge Durán, with contributions from Juan de Villanueva, the celebrated architect behind Madrid’s Prado Museum. Over the centuries, the building underwent several transformations before being restored as a luxury hotel. Its renovation, led by Spanish designer Ramón Esteve, received the Best Hotel Rehabilitation award at the European Hotel Design Awards in 2012.

What I find particularly fascinating about historic hotels is how much of the past remains hidden beneath their polished surfaces. At Palacio de Tepa, that history is quite literally beneath your feet. During the restoration, archaeologists uncovered remnants of Madrid’s historic underground water supply system, once used to bring fresh water into the city. Parts of these centuries-old channels can still be viewed through a glass floor, offering an unexpected glimpse into the capital’s hidden past.

The design is understated and timeless, with a palette of soft neutrals and natural textures that allows the beauty of the building’s bones to shine through. I particularly appreciate how the interiors resist the temptation to make a grand statement. There’s an effortless charm to the rooms, where sunlight filters through tall windows, casting patterns on polished floors. It’s a space that feels at once classic and intimate, rooted in its past yet perfectly attuned to modern travellers.

For me, however, one of the greatest pleasures of staying here is the neighbourhood itself. Step outside, and you find yourself in Barrio de las Letras, Madrid’s literary quarter, where Cervantes and Lope de Vega once walked, and where independent galleries, bookshops, design boutiques and vibrant tapas bars now thrive. Interestingly, the site of the hotel was once home to the Fonda de San Sebastián, an 18th-century gathering place for writers and intellectuals. It seems rather fitting that a hotel in this neighbourhood should have its own literary connections.

Madrid is a city I prefer to explore on foot, and staying here makes that particularly easy. The narrow streets and charming squares invite leisurely wandering, with something interesting waiting around almost every corner. Just a short stroll away lie the Prado Museum, Reina Sofía and Thyssen-Bornemisza, forming Madrid’s Golden Triangle of Art, each museum a treasure chest of Spanish and European masterpieces. Yet it is often the smaller discoveries along the way — a quiet street, an old bookshop or a neighbourhood café — that make a city memorable.

And from Palacio de Tepa, much of Madrid is yours to discover simply by stepping out of the door.