The miracle of the Círculo de Bellas Artes: succeeding with almost no public subsidies

It's considered one of the ten most important cultural institutions in Spain; it's among the five most important in Madrid, behind only the Prado Museum, the Thyssen Museum , the Reina Sofía Museum, and the Teatro Real , according to the Observatory of Culture ranking. And yet, 30 years ago, the Círculo de Bellas Artes was on the brink of collapse.

Founded in 1880 by a group of artists, this private (yes, private) cultural center found itself in an absolutely critical situation three decades ago: its employees hadn't been paid in four months, and debts to the Treasury and Social Security were mounting. The crisis was so severe that its iconic building at 42 Calle Alcalá, famous for the gigantic statue of the goddess Minerva that crowns it, was going to be put up for public auction due to an unpaid mortgage.

It was precisely during this turbulent period that architect Juan Miguel Hernández León became president of the Círculo . “I found myself, without wanting or asking for it, faced with the need to carry out an almost business-like approach to culture,” he recalls. “It was about survival.”

The debt with the Treasury and Social Security had to be negotiated, a severe restructuring of the workforce had to be undertaken, and the dismissal of almost half of the institution's 120 permanent employees had to be agreed upon. The mortgage on the building had to be renegotiated in order to stop the auction of the property, and a ten-year agreement was signed for the repayment of said loan. But, above all, a viability plan was implemented, a plan that would allow the Círculo to completely avoid dependence on public subsidies. "We understood that we had to live off our own resources. Government aid is very good, but it doesn't solve our lives at all," says Hernández León .

The Círculo got its act together, did its homework, and today it is a financially healthy and culturally relevant institution that stands alongside the Prado, the Thyssen, and the Reina Sofía. “We play in the Champions League, but our approved budget for this year is only 7 million euros. We're like Mirandés facing Real Madrid,” jokes the Círculo's president, who, incidentally, has held that position for 30 years without receiving any financial compensation. “The president and the members of the Board of Directors don't earn a single euro. In fact, we pay our membership dues. We all have our own means of support; I, as an architect, as a writer, as a university professor. But it seemed important to us that this institution become a reference point and, above all, that it be a space for creative freedom .”

Only 12% of the Círculo de Bellas Artes' budget comes from public funds. "For every euro the government contributes, we contribute 19 euros. Every euro that comes from taxpayers' pockets, we increase it almost 20-fold. I don't think it's public money misused," emphasizes Hernández Léon, who, from the privileged vantage point of his magnificent office at the Círculo de Bellas Artes, has witnessed the cultural changes in Madrid.

“In the 1970s, for young people, our reference point was Barcelona. Going to Barcelona was like going to Milan. The culture, the cool stuff, everything was in Barcelona. However, possibly due to the provincialism introduced by radical independence movements, Catalan culture became more inward-looking, and Madrid began to emerge. Madrid has become a key metropolitan sphere for European culture,” he asserts.

Conferences, book presentations, exhibitions, film screenings in its cinema (one of the several spaces it has restored), debates, jazz and classical music series, festivals... The Círculo de Bellas Artes' cultural offering is extensive; the institution is an important meeting point for artists, intellectuals, and enthusiasts. Aside from members, its headquarters receives around 900,000 visitors each year . "I say 'visits' because sometimes, in the statistics provided by cultural centers or museums, they cheat a little and say 'visitors ,' when many people actually return. I'm sure that in the Círculo's case, around 30% are repeat visitors."

One of the Círculo's priorities right now is trying to attract a young audience. And, little by little, it's achieving this. "The rooftop terrace has brought many young people to the Círculo to drink gin and tonics. And, from there, we try to attract them to meetings, seminars... Youth culture policy is fundamental, and in that sense, we have a director, Valerio Rocco Lozano , who just turned 40; my children are older than him."

Covid-19 hurt the Círculo. Before the pandemic , as in recent years, the institution had run a surplus, so it decided it was time to restore its historic building, which hadn't been touched since it was built in 1926. "We embarked on a significant investment without a single euro of help from any government. But the pandemic hit, the lockdown came, and we had to close for four months. We couldn't rent out rooms, we couldn't hold events. We ran into a significant deficit," recalls Juan Miguel Hernández León.

We had to take out loans from the ICO , and many very important economic decisions had to be made. But the Círculo, once again, survived. It has also long established a meeting of the administrative management every two weeks to check on how things are going and be able to act quickly should the situation deteriorate.

Next year, 2026, will be a year of milestones for the Círculo. It marks the centenary of the opening of its headquarters , designed by Antonio Palacios , and the anniversary will be celebrated with a major exhibition on the building, which will also review the Círculo's significance for Spanish culture, especially since 1983, when its function was reset. Long live the Círculo de Bellas Artes!