I made an intense research to book the hotels in Madrid and Barcelona on internet before our departure. I supposed we couldn't get anything decent under 60EUR until we stayed at the Macia Condor in Granada.
We found this hotel through a travel agency in Seville. I must say I was quite confused to have a 4 stars accommodation for just 50 EUR but we went on. Yes, it is true what other reviewers say: it is not a real Spanish 4 stars hotel. But if you keep in mind what you have paid and what other hotels are asking for poor rooms you should be more than happy ( I almost booked a room in a hostel for 60 EUR!). The hotel is really nice and the staff is the most friendly people I have had behind a desk, they even helped us to find sport stores in town! We had a nice room with balcony over the gran via. The room was amazingly quite and the bathroom was also spacious and nice.
My husband visited Granada some years ago and he stayed closer to the Alhambra, in the historic city. His first impression was "oops, the location is bad" but after visiting the Alhambra and its surrounding we completely changed his mind. La Gran Via is a commercial center a little away from the narrow alleys filled with "tapas bar" lounges (a joke for locals because a tapa is an aperitif you get anyway, so every bar is a tapas bar in Spain!), souvenir shops and, of course, tourists.
My only complains are:
- the bathroom ventilation: it wasn't nice to get odors from other rooms and
- the glass in the shower: too short to have a decent shower without spreading water
Small problems anyway compared to the impeccable service we got for just 50 EUR

The hotel is in a good position - 10-15 mins walk from the main centre - Cathedral and Plaza Nueva, so great for access. It's on a main road, but nice and quiet in the evening, so there isn't the constant noise from all those tourists! The rooms are small-ish but acceptable. Ours was clean, and serviced daily. Bathroom is fine as well. The main comment is that most of the rooms are dark. Only the rooms which face the front get full light. Most of the others face buildings which are close by (I guess 5 metres!), and we had opaque windows (for privacy from the neighbouring buildings). It really was very dark in the rooms. But that's fine if you use it as a base to get your head down at night. There are no tea/coffee making facilities in the room - something we discovered after a day walking round and we really fancied something refreshing before going out in the evening. Breakfast is pretty good - didn't have an evening meal there as there are a huge number of alternatives out & about. Reception staff were very friendly and helpful and they speak quite good English.

On a separate point, it's only 5 minutes walk from the bullring, but we didn't use the restaurants there. They all revel in the bullfights with lots of photos plastered on the walls. We didn't want to support such cruelty, or anything that encourages or profits from it. Walking by the restaurants there, you can hear the bulls in their boxes awating their fate. There are plenty of other good places to eat in Granada.

We staded at Macia Condor for one night in April, during Semana Santa. The room was very comfortable, with a balcony (althought it was going out to the main street, where there were development works that time). Clean, simple and nice. The hotel is 4 stars. We made the order thought the hotels.spain-bookings.com.
There is a parking in the hotel, but I wouldn't recomend on using it. It's very small, only for maybe 4 cars, and very expencive (12 euro per night). Across the street there is a municipal parking for much less, and it's guarded, so you don't need to worry about your car, while you get to know Granada.
The location is good. 1 minute walk, there is a bus stop for Alhambra. 5 minutes walk is The Catedrala. Behind the courner is internet-cafe.
The check in girl was very nice and helpful, she gave us a good directions and explaned about the Semana Santa proccesions. The next morning there was a young man, who was not so helpful.
Because we where very tired, we thought to try the hotel restorant. DON'T DO IT! It was a bad expiriens:-(

I've stayed in this hotel in the first few days of July 2006. Hotel room had a very strange layout and no view, but it was clean, beds were comfy, mini-bar stacked and it had a flat screen TV, which was a nice surprise.
Reception staff was not helpful, they could not take an initiative when I asked about Alhambra tickets.

If you are planning to visit Granada any time soon, be aware that most streets are dug-out for renovation. The whole place looks like one big building site. On a plus side, Alhambra was magical as I have expected it to be.

One more drawback – not many natives speak English, which was probably the reason that I haven’t seen many Brits there ;)

In conclusion … hotel decent, Alhambra awesome, Granada – building site, but exquisite.