Basically you need to attend Granada Police station, the address is Plaza de Campos nº 8., with your completed application forms, copy of application forms, passports, copy of passports, together with a copy of the contract. Our solicitor completed the forms for us as they are in Spanish, we just called into his office to sign and collect them. Its is recommended to get there as early as possible, opens at 9am, as queues can get quite big. You need to join the correct queue, the required window is marked as Information Foreigners, however, they do not speak English so be warned. We were lucky and managed to get seen staightaway, which annoyed some locals who had been waiting for hours! They will stamp and return to you the copy of the application, it is important to keep that as you will need it again in 7-10 days when you go back to the Police station to collect the NIE numbers once the application has been processed. We were lucky, our solicitor did this for us.
Roy