A new music venue in McKinney will receive an estimated $26 million in public funding, with tax incentives that could total $100 million over the next 20 years.
The $220 million project, dubbed Sunset Amphitheatre, will be built on more than 46 acres northeast of U.S. 75 and state Route 121 in Collin County. The development will receive about $18 million in incentives from the city of McKinney, as well as a $5 million grant from the sales tax-funded McKinney Economic Development Corporation and a $3 million grant from the McKinney Regional Development Corporation during construction, according to the city.
“This will be an entertainment destination that will draw people from throughout McKinney, North Texas and beyond, including Oklahoma, to see some of the best artists in the country perform in an amphitheater with world-class amenities,” said McKinney Mayor George Fuller.
The $18 million in incentives from the city will be put into a tax increment reinvestment zone at the city’s discretion. Completion of the project is expected to increase land assessments. Because property values will increase, property owners will pay higher property taxes. The money from these taxes will help pay back the city.
The company behind the project is Colorado-based hospitality and entertainment company Notes Live. According to the project’s grant application, the company is focusing on growing markets that meet several criteria, including high-profile locations with “tax-advantaged redevelopment districts.” KOAA News5 reports that the company plans to open a venue in Colorado Springs, Colorado, in August.
Fuller previously said, Dallas Morning News The company’s choice of McKinney for the project ultimately comes down to how carefully the city acted — buying the land, for example, so it could control what happened.
The city will pump nearly $100 million into the project over the next 20 years, taking into account sales taxes, ad valorem taxes, segregated materials, other fees and the value of land transfers.
McKinney has similar special tax districts in its downtown and at McKinney National Airport.
The Notes Live venue is expected to open in 2026 and support more than 1,300 direct and indirect jobs. The project is expected to generate approximately $3 billion in economic impact, according to the City of McKinney’s website dedicated to the development.
Correction: This story has been corrected to reflect the total amount of funding the city will put into the project over 20 years, in addition to the original grant.
