We stayed at the Parador for just one night and were upgraded to a suite. The room was beautiful with a four poster bed and a small outside patio.
When we arrived by car, you go to the security hut and tell them you are staying at the Parador. They will let you through. I was a bit apprehensive about driving up the hill. It's a pedestrian area with loads of tourists but you do feel like royalty driving up there!!
You can park right inside the Parador.
We took the Alhambra tour offered by the parador and the guide was very informative.
Walk around the Alhambra at night. You will be the only people there (esp in February). See the Palacios Nazaries all lit up and listen to the sound of flowing water.
Walk down to Granada for Tapas on the Plaza Neuvo and get the red bus back.
We will always remember our stay at this Parador. You just cant beat the location and the fact that you are staying in what used to be a monastary!!

The Granada Parador is in a great location, but not worth the expense. We visited while the Parador was under construction, so I can only comment on the hotel wing that was open during our stay. The Parador is very expensive, over $500 per night and you get nothing for this expense. The room was large but decorated minimally. The bathroom was clean and large but nothing special. The lobby is dreary, there are no views and for $500 per night, there have to be much better locations in Granada to stay for a visit.

We have recently returned from a 2 night stay at the Parador
San Francisco in Granada. Location is fantastic but the Parador itself is one the dullest hotels I have every stayed in. Our room was incredibly noisy and very small! Outside our window on the ground floor was a metal grill from the basement. The majority of the noise came from crates etc being moved around early in the morning. I politely voiced my concerns to reception who seemed to think I was imagining it - very unhelpful. They suggested that the noise probably came from a Japanese family next door to us. Food was average, service on the slow side and reception manned by grumpy men! I think the Parador is very over priced and very over rated!

We spent one full day (early Friday afternoon to late Saturday morning) at the Parador, our last stop before heading back to Madrid and home. We parked our car in the lot right next to the Parador and spent all of our time on the Alhambra grounds. We were apprehensive about finding the Alhambra, but there are frequent street signs throughout town pointing toward it.

The location is great. Sangria on the terrace was refreshing. Our dinner and breakfast at the restaurant were excellent. The room was attractive, and the extras, including a collection of prints, were a treat. It’s an expensive stay, but in such a remarkable location, what can you expect?

The Alhambra is beautiful but it seems to us very confusing to tourists. Finding your way around the grounds from each location to the ticket office to where you actually enter the attractions was bewildering. We booked Alhambra tickets a month in advance and the night entrance to the Nasrid Palaces was the only time available before we were scheduled to leave the next morning. An extra day would have made a perfect stay and perhaps given us time to take a bus into the central city.

Scam alert: As we approached the grounds and turned a corner about four men jumped in front of our car and motioned us to stop and park, claiming that all parking lots on the Alhambra grounds were full. When we told them that we were staying at the Parador and would park there, one of them said the entrance to the Alhambra was complicated to find and he would drive his car ahead to lead us there. We were somewhat confused and followed him in a circuitous route, eventually stopping at the Alhambra entrance. He then demanded that we pay him 20 Euros (“paper money”) and refused the two-Euro piece we offered. He ended up with nothing, and of course, we could see that there was parking available right outside the Alhambra grounds. Maybe we were a bit gullible, but we do expect better from a city that depends on its tourist trade.