I am planning this quick trip for early May '25 along with another couple. We agree on places to see, but our taste in hotels is different. After looking at hotels online for three days, I like Altis Avenida Hotel because of its location to sites we want to see and its proximity to the Rossio station (and mai tai Tom's review--he and I must have similar taste!). They like Pestana Palace which seems to be a taxi or Uber ride away from where we will spend most of our four days' time. If it's permissible, can anyone give me some other hotel recommendations or say yay or nay on the above two? Looking to spend up to 350USD/night but of course would like to spend less. Being on the tall side, queen beds would be great, and they probably would like king even though they're hard to find. I'm sorry if this seems a stupid question, but we have to start somewhere.

Welcome, kbjl10. I stayed at :

NH Paseo del Prado
Plaza Cánovas del Castillo, 4
28014 Madrid

I contacted them directly and loved the hotel. Desk clerk got me tickets for flamenco, and the breakfast room was excellent.

Here's my TR for more info and some ideas..scroll to #96 if you want to skip the planning session:

Madrid and London

The hotel was across the street from the Prado, and an easy walk to the other 'big' art museums. My emphasis was on the galleries. Please let everyone know how it all goes for you.

We recently returned from a 2 week trip to Portugal which included 4 nights in Lisbon. We stayed at the Britania Art Deco Hotel Hotel Britania Art Deco | Official Website - Genuine Art Deco boutique hotel
We thoroughly enjoyed our stay here. Everyone from the front desk staff to the ladies in the breakfast room were so friendly and helpful - always smiling! Breakfast had a nice variety including smoked salmon. We also loved the location; on a quiet street just a block away from Avenda de Liberdade. And the best part of all were the large spacious rooms!

Thank you so much TDudette!

Thank you Kiddo. Portugal is our first stop, then Madrid. This hotel looks very nice.

The good news is that cabs are ubiquitous and inexpensive in Lisbon. That said, I like to stay in a location that holds things of interest to me, so I personally would not be happy with the Pestana Palace. Being near the Rossio station would work well for me. I think the Britania Art Deco's location is also good, although IIRC, that's around the place where one starts climbing a hill. I don't think it's too steep at that point, but I don't know for sure. And I think the streets and sidewalks are cobbled there, which can make for some tricky walks if it's wet or if one's footwear isn't well suited to uneven surfaces. Perhaps Kiddo can comment?

Thank you kja for this info. We are in our early 70's and in decent condition, but flatter is better. (I know, good luck with that in Portugal and Spain!)
What about Altis Avenida? I appreciate all recommendations.

We found that the Avenida da Liberdade had a slight incline from Rossio to Marquis de Pombal Square. My husband and I are seniors and not in great physical shape but we managed fine. Yes, it was noticeable but not excessive. It's divided with a pedestrian only promenade which we tended to use. It's a lovely-shaded walk with lots of benches for resting. The sidewalks are small cobblestone type tiles, but we found that to be the case in most of Lisbon.

Thank you, Kiddo. We are all seniors, too, in our late 60's early 70's and in fairly good physical shape, but flatter is better. I'm on the hunt for the best shoes to wear for this trip.

Rossio Square is before the hill starts, IIRC, and that seems to be what Kiddo is saying, too.

Thanks, R White. Will look into these.

We really enjoyed the Corpo Santos last year. Nice rooms, convenient location. Breakfast included if I recall correctly and a decent happy hour and free snacks in lobby late evenings. Also good free walking tours.

Thank you. Looks very nice.

The Hotel Avenida Palace is very nice.
Great customer service, amazing breakfast buffet, next to the train station.
https://www.hotelavenidapalace.pt

As to Lisbon, I agree with kja that the location of the Pestana Palace is not at all optimal (I do know it--it's a luxury property but will require you to taxi/Uber to most sightseeing attractions), and I think you would prefer somewhere more centra.
Like Kiddo, we love the Art Deco Britannia, and it's become our hotel of choice when in Lisbon. Why? because of the good value (we go in Nov. and receive a sr. rate), the wonderful Diago, the hotel manager, the copious breakfast and unlimited espresso and evening port plus pasteis de nata), the wonderful service from the hotel staff (including the free refill of the port decanter in our room!) and the quiet location.
Yes, it's a slight incline up the Avenida da Liberdade to the hotel on a parallel street to the east, but not a hard climb. We are seniors and don't find it at all taxing. In addition, the Avenida da Libertade is lined with benches for rest and several kiosks where one can stop for refreshments.
From the Britannia it's a steeper climb to the Marques de Pombal square further north (again there are benches) and even steeper to the lovely Parque Eduardo VII.

I do know most of the "downtown" Lisbon hotels, and I also do like the excellent, more contemporary Corpo Santo very much, if you need to be in the very flat Baixa on a less hectic street. Service there is also exemplary and as you've been told, the hotel gives lots of nice extras, such as the free tours, snacks, etc..
And I also know the Avenida Place and Maitai Tom's Altis Avenida (roof terrace is spectacular!), which are both in the flat area around the always lively Rossio square (handy if you take the train to Sintra).
You've been given several excellent choices for Lisbon.

As for Madrid, the very most convenient location for first time visitors is the Barrio de las Letras (also known as "Huertas" or officially as "Cortes"). It is within an easy walking distance of the Art Triangle, if you are museum goers.
If not,,, this is for others....The museums/galleries walkable: Prado, Thyssen, Reina Sofía, Caixa Forum, Fundación Mapfre Sala Recoletos, Centro/Centro, even Fundación Masaveu off Plaza Colón and the truly wonderful and vast MAN-Museo Arqueológico Nacional, also off Colón).

Here are several hotels in Letras that I know well, have visited or have stayed in them and can recommend in addition to the NH Paseo del Prado:
Catalonia Las Cortes
Hilton Tapestry Collection Atocha
Room Mate Alba
Mercure Centro
Doubletree by Hilton Prado
Radisson Red
Meliá Casa de Artes (new)
El Autor Autograph Collection by Marriott (brand new and beautiful)

We, and two other couples, have been happy with https://www.hoteldabaixa.com/en. I think the street is now a pedestrian walkway.

The Pestana Hotel Group in Portugal is the best choice for me. Their staff is always friendly and professional, super clean, the breakfast cool..they also make some little gifts for birthdays etc its cute

I am late to the conversation but we went over Christmas and stayed at the Convent Square Lisbon. (IHG) It opened up a year ago after a 10 year renovation of the building. We loved it because the staff was so kind and proud and shared a lot of history with us. It is very near Rossio station and pretty flat.
Last year we stayed at Memmo Alfama as well as Pousada Alfama (we stayed an extra 2 days in Lisbon because we loved it). I wouldn't recommend if you don't like hills. But we loved them both!

Thank you all for these wonderful suggestions!

Also wondering how to make the most of only three days in Madrid. One friend has recommended the hop on/hop off bus to see the most in the shortest time. Is this correct?

I think that depends on what you want to see an experience while in Madrid.