The old town is known as “Madrid de Los Austrias” meaning “Habsburg Madrid”, but this title is in fact misleading, as this area has been inhabited since the Moors established the first settlement in the ninth century. The reign of the Hagsburg monarchs lasted form 1516 to 1700, during which time Madrid became the capital of Spain and the hub on an empire following the discovery of the Americas.

Plaza de la Villa, the administrative centre of the growing town, was the most important square in Madrid for 500 years following the Christian re-conquest in the 11th century. The City Hall is still situated there, in a magnificent Habsburg building, but is set to move to the former main post office building in Plaza de Cibeles in the next few years.

Built nearly 400 years ago Plaza Mayor is still a spectacular space. Enclosed by redbrick buildings, with the slate roofs, spires, and dormer windows typical of the architecture of the Habsburg dynasty, this elegant square is now full of pavement cafes, with traditional shops and tapas bars under the porticoed arcades.