Stayed at the Carlton for 2 nites in November 08. Took train from Valencia, the Carlton is 2 blocks from the Atocha train station, so it was a short walk(one of the reasons i booked it).
We had about two hours before the Reina Sofia(Guernica) closed, so we checked in, which was hassle-free, and ran over there, which was only about a 5-10 min. walk.
The room and bathroom were immaculate, great, great room, and the hotel desk were very friendly.
Also within walking distance was the Prado and the Botannical Gardens. Note that there is only 1 entrance to the Botannical gardens(we thought we could cut-through on the way back to the hotel).
Take a cab to the Royal Palace. We walked from the Royal Palace to the Prado back to the hotel, and that was fine.
There's a lot of great, low-cost food options right around the hotel. Of the 4 hotels we stayed in Spain this was by far my favorite.
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