This is the former home of the first President of Spain in democratic times. It's new; it has only been operating as a hotel for a month. It's a beautiful place; a mix between a luxury hotel and a tasteful home. When you arrive, you check in at a reception area, which is like a private study. One wall is covered in bookshelves; one of these is a secret door, through which the president could escape. The girl checking me in explained the building's history, and showed me around the house & garden. She spoke fluent English; unusual in Avila.
The house is filled with antique furniture. The garden, beside the ancient wall of Avila, is beautiful & peaceful. There are 10 rooms: 2 doubles, 5 junior suites & 2 suites. They're all named; dialogue, peace, tomorrow...
I was in a suite, no 102, named La Liberdad (Freedom). It was tastefully furnished, & had a terrace overlooking the garden. It also had a tiny balcony, on the other side of the room from the terrace, which had a view of La Santa church (a minute's walk away), which marks where St Teresa of Avila was born (it's the only room with a balcony looking towards La Santa).
Food in the restaurant is excellent; many local dishes, along with an English speaking waitress who explains all the dishes.
It's a real luxury option; I've stayed in a few excellent hotels in Avila, including the Parador, and this is the best by far. The combination of comfort, homeliness and the personal touch make it a unique experience.