It is located in the north of the city and is bisected by Paseo de la Castellana, one of the main thoroughfares of the capital, almost at its end.

It is the quadripoint intersecting the neighborhoods of Castilla, Nueva España, Almenara and Castillejos.

A major transport node of the city, the Plaza de Castilla is located on the grounds of what was formerly called "El Hotel del Negro".

[1] The Puerta de Europa Towers are situated at the north end of the Plaza.

[2] A monument to José Calvo Sotelo lies on the southern end of the Plaza de Castilla.