The main gay area in Madrid is called Chueca (Pronounced Choo-aye-ka)
Madrid has a lively, raunchy gay scene. There are several sex bars and most bars have dark rooms, where just about anything goes. The gay area, Chueca, is in the old quarter at the center of Madrid. It's a tightly compact area, actually two areas a short distance apart. Places further afield are easily accessible by metro. Madrileños like all Spaniards tend to party late, going out to eat at 10pm, hitting the bars at 1am. and on to the discos about 4am after the bars close. 
Madrid is the capital and largest city in Spain, as well as in the province and the autonomous community of the same name. It is located on the river Manzanares in the center of the country. As the former capital of the old Spanish Empire, Madrid has been bestowed with a degree of cultural predominance. Renowned museums such as Museo del Prado, the Museo Reina Sofia, and the Museo Thyssen-Bornemisza are major tourist attractions in the city. Other cultural highlights include the Royal Palace of Madrid and the nearby royal monastery of San Lorenzo de El Escorial. The population of the city is 3.228 million, while the estimated urban area population is 5.078 million.

Madrid's Top Attractions

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The dates for Gay Pride in 2008 have been confirmed. They are July 3rd to 6th. Parade on July 5th. Web site

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Cover photos: 1. Entrance to Chueca Metro Station. 2. The Bear and the Strawberry tree (El Oso y Madroño); Madrid's logo.