This neighbourhood is named after El Parque del Retiro, also called the “lung” of Madrid. Commissioned by Ferdinand VII, until 1868 these were the Royal Gardens, after which they became of municipal heritage. During the War of Independence, the Retiro played a crucial role, serving as a fortress and barracks for the French troops.

The Retiro neighbourhood encompasses the entire area around this park, including the famous Colonia del Retiro,which initially was comprised of cheap houses built for people with low economic resources. Today it houses single-family homes with a lot of charm.