The famous Oriental Plaza is located in the historical centre of Madrid, between the imposing Royal Palace and Royal Theatre. Due to the fact that it is located on the East side of the Royal Palace, the area got its name. The North side area adjacent to the Royal Monastery of the Resurrection – encarnación, surrounded by a small green Park.

The construction of the Eastern area was started during the reign of Joseph Bonaparte, and ended when Queen Isabella II. The basic concept of the ensemble of the square belongs to the architect Juan Bautista, Sachetti.

In order to make way for the construction of the square, was demolished a number in the place of buildings and cleared land.

In the center of the square is the magnificent statue depicting king Philip IV on horseback. This horse sculpture was created by the famous sculptor Pietro Tacca in 1640, who took the portrait of the king, made a great Velasquez. On the orders of Queen Isabella statue was moved and installed on the Eastern square. This sculpture is recognized as the world's first monument depicting a horse standing only on its hind legs.

The monument to Philip IV is surrounded by large green gardens. Originally broken squares were rebuilt in 1941, and since they are located around the monument in the shape of a square. Among the greenery of the gardens there are 20 statues of Spanish monarchs that are placed chains on the left and right of the main monument.