Just to give my 2 cents. Madrid is by far the Spanish city making the biggest effort to provide its inhabitants a nice entrepreneur-friendly environment.

To cite a few: http://www.startupbootcamp.org/european-cities/#madrid http://www.seedrocket.com/ http://betabeers.com/ http://blog.tetuanvalley.com/ http://madridemprende.esmadrid.com/ http://wayra.org

And I'm missing a lot of them. The entrepreneurial scene and the agile people over here are making an enormous effort to bring this city as a true startup hub in Europe, and they've accomplished this in 1 year. Like they say in reddit, IAMA guy sort of involved in this scene, ask me anything. Lol