This is called urban renewal, and this is what turned this tired and gloomy place to a hipster fortress and a real entertainment area, filled with pleasant restaurants and cafes, friendly to locals and tourists, optimistic and full of life.
Today, this is one of the most bohemian quarters in the city. The quarter is known for its cool rock and funk clubs. Each evening the Malasana clubs bring in many young people, that come in groups to the live performances and the parties.
The magical Malasana neighborhood, in north Madrid, is behind the luxury mall Gran Via, the must eat food temple, cultural and shopping centers of Madrid.
Many in Madrid call Malasana el Barrio de Universidad, for the student atmosphere here. Another name that sticks around is Chueca-Malasana, named for the nearby Chueca neighborhood. This is a neighborhood for the LGBTQ community of Madrid, with a liberal atmosphere, young and open. Many tend to see both of them as one urban place, the two strongest entertainment quarters in the Spanish capital.
Throughout the day you can walk along with the elders of the neighborhood, drink espresso in a designed cafe, and enjoy a good meal in restaraunt with a Spanish feel.
In the evenings you can sit at a local bar, or go to a cool alternative rock club, one of the many scattered around.
In the night hours Malasana changes its face. The club atmosphere in the night clubs and the bars become more vibrant, jumpy, and fun. You can see all the big names in the city of Madrid, beautiful, musicians and artists, everyone dancing, drinking, and having a good time.