Salamanca is one of the most upscale neighborhoods of Madrid. It is located to the East of the Castellana just above Retiro Park. This neighborhood is centered around two main streets - Serrano and Velázquez. This neighborhood is much calmer than the other hip neighborhoods discussed here. Similarly to many fancy neighborhoods, you will find the high-end shoe stores, top-notch restaurants, and prime real estate. Barrio Salamanca is no exception. However, unique nightclubs and lounges aside, you will also be pleasantly surprised to find many hidden gems. After all, Salamanca is a neighborhood where people live in, and they too have mom and pop shops and friendly bars. You just have to search for them.