City theater is located in the heart of Funchal, right in front of the charming and meticulously manicured Municipal Gardens of Funchal, which is still known as the Garden of Donna Amelia.

Construction of the theater started in October 1884. The building was designed by an engineer from Porto Augusto Tomas Soler. Inner trim theater engaged the Italian architect Luigi Manini and artist Eudzhinio Cauterets. Grand opening of the theater took place in 1887.

Originally, the theater was named in honor of Donna Maria Pia, who was the wife of King Luis I. In the years of the proclamation of the Republic of Portugal for a time the theater was named Manuel de Arriaga, who was the first president of Portugal. Later renamed the theater, and it was called Municipal Theatre Baltazar Dias, who was a talented poet and author of Madeira theatrical productions in the XVI century.

The City Theatre staged the play, held various cultural performances and music concerts. He was also the only cinema on the island of Madeira. Today the Municipal Theatre also continues to play an important cultural role: it carried festivals, ballet performances, concerts and much more.

Municipal Theatre of Funchal is also called a miniature copy of the Albert Hall - the Royal Hall of Arts and Sciences, the Prince Consort Albert. To get to the building of the theater can be through one of the 11 arched windows. The ceiling is decorated with ornaments in the Romanesque style, the theater has four tiers. Theatrical lodge decorated with gilt Greek masks hall has a horseshoe shape.