My stay at The Hat was nothing less than phenomenal. Alfonso and the entire staff were welcoming, sociable, and more than hospitable for anything I needed. I have stayed at over a dozen European hostels in my life, and this one was by far the best.
The location is unbeatable - situated right next to Plaza Mayor, The Hat is a 10-15 minute walk from anything you could possibly want to do/see in Madrid. It's a leisurely stroll to Puerta del Sol for restaurants, bars, clubs, and a quick walk to Retiro Park, art museums, and the shopping strips Fuencarral and Gran Via.
The accommodations were the cleanest and most spacious I've ever seen in a hostel - our 8-bed room felt almost like a private stay. The beds are meticulously changed and cleaned after every guest, and the bathroom was thoroughly cleaned everyday as well. The rooms are fairly large, often with window views and each bed with a lamp, plug, and shelf. The entire hostel is decorated with chic personal touches - plants hanging from the ceilings, hand-painted quotes on the walls, and tree stumps used as door jams. The rooftop bar is also adorable, and a must-see if you stay here. There's plenty of open-air seating and a great menu for snacks and drinks any night of the week. The Hate also includes free wifi and free breakfast every morning, which helped me save on my traveling budget.
Most of all, the owner, Alfonso, went above and beyond to make my friend and I feel at home. Alfonso often visits the rooftop bar to chat with guests and personally ask them how their stay is going. He is charming and genuine, and was willing to recommend some great night spots for us when we asked for his advice.
It amazes me how cheap this hostel is for the superb quality it offers - it was absolutely worth the money and completely changed my experience in Madrid for the best. If ever I'm traveling to Spain's capital again, I will stay here without a doubt. Two thumbs up!