The other day i passed by the downtown near Sol and i found between so many fast food restaurants and restaurants for tourists a place where still serve homemade food with not killing prices. The lunch menu for 10,50 euros. Price-quality is ok.
At first they gave me a little potato-pepper salad that wasn´t written in the menu, so i guess was part of the menu service. For first course i asked gazpacho andaluz (maybe you saw the picture first at @theundercoverpig) and for second course cocido madrileño -traditional spanish stew with meat, white cabbage, chickpeas and served separately the broth from the other items). The true i was looking for callos a la madrileña but it seems nobody wanted to put that in their menus. Maybe next time. For dessert just coffee. The waiter was very nice and it seems workers there have many years working there.
The restaurant name is “La Farola” and it´s open sice 1864. Is located in calle Tetuán 20, three minutes by walking fom Sol subway station.