Madrid to host Spanish F1 GP from 2026
The event has been held in Barcelona since 1991 and Formula One said talks were ongoing with officials in the Catalan capital about their own deal, raising the possibility Spain could host two races.
The new 5.47-kilometre circuit will be built in and around Madrid's IFEMA convention centre in the north of the Spanish capital and will feature 20 corners, organisers said in a statement.
It will have the capacity to receive over 110,000 spectators per day, which could increase to 140,000 during the first half of the agreement "making Madrid one of the largest venues on the F1 calendar", the statement added.
"Madrid is an incredible city with amazing sporting and cultural heritage, and today's announcement begins an exciting new chapter for F1 in Spain," F1 president Stefano Domenicali said.
The event is forecast to create 8,200 jobs and boost Madrid's gross domestic product by over 450 million euros ($489 million).
"Madrid doesn't just aspire to host a Formula One Grand Prix, it wants to host the best Formula One Grand Prix in the world," Madrid mayor Jose Luis Martinez-Almeida said at the official presentation of the event.
The last F1 race in the Madrid region was in 1981 at the Jarama circuit. Barcelona has been home to F1 in Spain for over three decades, since replacing Jerez, which staged the Spanish Grand Prix from 1986-1990.
Formula One has accommodated two races in Spain before -- the country also hosted the European Grand Prix on a street circuit in Valencia from 2008-2012.