The 5.47km [3.399-mile] circuit will centre around the IFEMA Exhibition Centre which was the first host of a hugely-successful official travelling F1 museum.
In a statement, F1 said a daily capacity of 110,000 will make it one of the highest attended races on the calendar, with plans to increase that number to 140,000.
They also expect it to become one of the greenest Grand Prix, with 90 per cent of attendees expected to be able to travel by public transport.
Since 1991, the Catalunya-Barcelona circuit has hosted the Spanish race, and often pre-season testing, leading to claims from some drivers that it has become boring.
Seven-time world champion Lewis Hamilton isn’t one of those though.
Responding to earlier rumours about a move to Madrid, he said: “I don’t think I would want to lose Barcelona.
“I do think it’s really important we keep some of the classic circuits, at least the ones that provide great racing.
“Budapest is spectacular. Silverstone is spectacular. [Barcelona] is, too.”