The Hostal Persal is located in the historic center of Madrid, near all the main monuments. It is only 100 yards from the Puerta del Sol, and very near the Plaza Mayor (main square) and the Prado, Thyssen and Reina Sofia Museums.

There are two public parking garages within fifty yards of the hostel, on the Plaza Santa Ana and the Plaza Jacinto Benavente. The Plaza Santa Ana is famous for its tapas bars and nightlife.