The first conflict that arose during the reign of Isabel II resulted in the First Spanish Republic and later the return of the monarchy. The establishment of the Second Spanish Republic followed. In 1936, the Spanish Civil War broke out. Madrid suffered the most of all Spanish cities. Its streets were battle zones. After July 1936, Madrid was a stronghold of the Republicans. Its western suburbs were the site of a heavy battle in November of that year, when nationalists attempted to take over the city. After that, Madrid was under siege for almost three years. It surrendered in March 1939. During the Civil War, Madrid was bombed by planes specifically targeting civilians, the first city to enjoy this dubious honour.

Under Franco, the south of Madrid became an industrial zone. There was an influx of migrants from the rural areas. The southeastern periphery of the city was transformed into a slum, which became a base of active political and cultural movements.

After Franco’s death the newly established democratic parties accepted the former dictator’s wish to be succeeded by Juan Carlos I to ensure order and stability. This established Spain as a constitutional monarchy, a position it holds to this day.

Madrid reestablished itself as the leading economic, industrial, cultural and technological centre on the Iberian Peninsula in the 1980s.

The city suffered from a horrible terrorist attack on March 11, 2004. Massacres of such magnitude had not been seen since the civil war. ETA was the first to be blamed, but later it turned out that the attack had been the work of Islamic terrorists. The investigation yielded inconclusive results.

Madrid was a candidate to host the 2012 Olympics, but hosting the event was awarded to London. It will resubmit its candidacy for the 2016 Olympics.