وَحَدَّثَنِي عَنْ مَالِكٍ، عَنْ يَحْيَى بْنِ سَعِيدٍ، قَالَ كَانَ رَسُولُ اللَّهِ صلى الله عليه وسلم جَالِسًا وَقَبْرٌ يُحْفَرُ بِالْمَدِينَةِ فَاطَّلَعَ رَجُلٌ فِي الْقَبْرِ فَقَالَ بِئْسَ مَضْجَعُ الْمُؤْمِنِ ‏.‏ فَقَالَ رَسُولُ اللَّهِ صلى الله عليه وسلم ‏"‏ بِئْسَ مَا قُلْتَ ‏"‏ ‏.‏ فَقَالَ الرَّجُلُ إِنِّي لَمْ أُرِدْ هَذَا يَا رَسُولَ اللَّهِ إِنَّمَا أَرَدْتُ الْقَتْلَ فِي سَبِيلِ اللَّهِ ‏.‏ فَقَالَ رَسُولُ اللَّهِ صلى الله عليه وسلم ‏"‏ لاَ مِثْلَ لِلْقَتْلِ فِي سَبِيلِ اللَّهِ مَا عَلَى الأَرْضِ بُقْعَةٌ هِيَ أَحَبُّ إِلَىَّ أَنْ يَكُونَ قَبْرِي بِهَا مِنْهَا ‏"‏ ‏.‏ ثَلاَثَ مَرَّاتٍ يَعْنِي الْمَدِينَةَ ‏.‏

Yahya related to me from Malik that Yahya ibn Said said, "TheMessenger of Allah, may Allah bless him and grant him peace, wassitting by a grave which was being dug at Madina. A man looked intothe grave and said, 'An awful bed for the mumin. 'The Messenger ofAllah, may Allah blesshim and grant him peace, said, 'Evil? What youhave said is absolutely wrong.' The man said, 'I didn't meanthat, Messenger of Allah. I meant being killed in the way of Allah.'The Messenger of Allah, may Allah bless him and grant him peace, said,'Being killed in the way of Allah has no like! There is no place onthe earth which I would prefer my grave to be than here (meaningMadina). He repeated it three times.' " Translation Not Available

Book Ref: Muwatta Imam Malik Book 21 Hadith 994
Web Ref:  Muwatta Imam Malik Book 21 Hadith 33