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I didn't look much for a good hostel but found this. Very close to the center and to the Royal Palace. Nice people and good athmosphere. Backpackers style hostel. Breakfast included for 16 €/night. In general was nice but if you can find some other with less guests you will have a better athmosphere to exchange ideas with travellers.
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Theme: Hostel
Comparison: least expensive
Prices: less than US$20
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Address: Campomanes N 6,, , Madrid, Comunidad de Madrid 280
Directions: Opera District
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