The Irving City Council approved a $30 million grant to completely renovate the six-year-old Toyota Music Factory entertainment complex.
The funds will be used to improve the central plaza and renovate the performance areas and stores at Las Colinas' retail, restaurant and entertainment center.
The funds will compensate Brookfield Asset Management, which operates Music Factory, for upgrades to the mixed-use development that opened in 2018 between State Route 114 and Las Colinas Boulevard.
“The funds the city will use to reimburse the developer for these improvements will come from the revenue generated on the Music Factory property,” Deputy City Manager Philip Saunders told the City Council Thursday night. Told. “We have worked with them as they evaluated this property to make it more competitive in the market and more attractive to visitors and residents.”
The Music Factory complex, originally built at a cost of $180 million, has never been as successful as originally hoped and has been plagued by vacancies.
The Music Factory hosted 167 live performances last year, down from 254 in 2022, according to the city.
Music Factory includes a 4,000-seat indoor concert hall, an 8,000-seat outdoor amphitheater, 206,756 square feet of retail and restaurant space, and a 100,000-square-foot office building. There is also a movie theater.
Last summer, a division of New York-based Brookfield took over management of the city-owned property from the original developer.
“They're going to give us $30 million up front to repair and redo the infrastructure that we think we need to be competitive,” Irving Mayor Rick Stopfer said. . “They have already signed some new tenants.”
Stopfer said it will likely take 30 years for Brookfield to recoup its investment from the proceeds from Music Factory. Last year, the complex generated just over $1 million in sales taxes.
The council voted unanimously to provide new funding to Brookfield. New signage for the project along State Route 114 was also approved.
“It's a lot of money, but it's going to be owned by the city, so it's going to come back to the city,” said Councilman Brad Ramorges. “I think this is an important piece of work for Irving, so we should try to support it.”
Brookfield officials were quick to thank the Irving Board of Trustees for their support.
“Today's approval is an important step in advancing our vision to take Toyota Music Factory to a new level,” Brookfield Senior Vice President Chase Martin said in a statement. Stated. “Brookfield has a proven track record of reimaging community destinations, and we are honored to be a trusted partner in moving this project forward.”
One citizen who spoke at the City Council meeting opposed the idea of providing more funding to Music Factory.
“This is a lot of money for a six-year-old building in hopes of getting more people to come,” Emma Petty told the City Council.
Irving built the Music Factory to bring more business to the surrounding Las Colinas Urban Center. Adjacent to Irving's Convention Center and Westin Hotel.
Since opening, other large developments have debuted nearby.
Late last year, Christus Health opened a 15-story headquarters tower just south of the Music Factory on Las Colinas Boulevard that will house about 2,000 employees. Banking giant Wells Fargo is building a $500 million Irving office campus across the street from the Music Factory.
“Toyota Music Factory is a valuable asset to our community and region, and by supporting the value proposition we offer to companies that want to make Irving Las Colinas their home, we are adding to our city’s economy. and play a critical role in our development,” said Beth Bowman, president and CEO. Officials with the Greater Irving-Las Colinas Chamber of Commerce and the Irving Economic Development Partnership said in a statement.
