Title
Consider/Discuss/Act on the Fourth Amendment to Chapter 380, and Development Agreement by and Among City of McKinney, Texas, McKinney Economic Development Corporation, McKinney Community Development Corporation, and VENU Holding Corporation, Successor-by-Name Change to Notes Live, Inc.
Summary
COUNCIL GOAL: 5: Enhance the Quality of Life in McKinney
5.1: Create Affordable Recreational and Cultural Arts Activities
for All Ages Throughout the City
MEETING DATE: January 22, 2026
DEPARTMENTS: McKinney Community Development Corporation (MCDC)
CONTACTS: Cindy Schneible, MCDC President
ITEM SUMMARY:
• On April 16, 2024, the City of McKinney, McKinney Community Development Corporation (MCDC), and McKinney Economic Development Corporation (MEDC) approved a Development Agreement with Notes Live, Inc., for the development of a 20,000-seat open-air amphitheater located on 46 acres at the northeast corner of U.S. 75 and S.H. 121.
• This item will consider a Fourth Amendment to that Agreement.
BACKGROUND INFORMATION:
• On March 12, 2024, the City of McKinney and Notes Live, Inc., announced that preliminary terms were reached to deliver a 20,000-seat open-air amphitheater.
• On April 16, 2024, the City of McKinney, MCDC, and MEDC approved the Development Agreement for the project.
• The project will be located on 46 acres at the northeast corner of U.S. 75 and S.H. 121.
• Total estimated investment by Notes Live in the Sunset Amphitheater McKinney project is $220 million.
• It is estimated to bring more than 1,300 direct and indirect jobs to the community and an economic impact of roughly $3 billion to the area over the first ten years.
• The Project is a joint effort by the city, the MEDC and the MCDC.
• The Amphitheater will serve as the flagship music venue for Notes Live and represents their largest venue.
• The venue will be designed to host major touring artists, and creating an exceptional fan experience through upscale hospitality, crystal-clear sound quality, and spectacular outdoor views.
• The amphitheater will include luxury fire pit suites, a reserved seating area, and a landscaped grass berm, all under roof.
• A First Amendment to the Agreement (the “First Amendment”) was approved on October 15, 2024, to modify the i) purchase terms for the land and the correlative incentives for the timely completion of the Project, ii) the eligible Operators of the Project and the obligations of said Operator(s), iii) changes to certain aspects of the design of the Project, iv) the use of eminent domain for public infrastructure benefitting the Project, and v) conditions of any assignment of the Agreement.
• A Second Amendment to the Agreement (the “Second Amendment”) was approved on December 3, 2024, to modify the terms related to the i) eligible Operators of the Project which include a wholly-owned subsidiary of VENU and the obligations of such Operator, ii) the City Parties’ default remedies incident to actions by a wholly-owned subsidiary of VENU acting as Operator, and iii) the date by which VENU must contract with an Operator.
• A Third Amendment to the Agreement (the “Second Amendment”) was approved on October 6, 2025, to modify the terms related to the i) reduction of the minimum requirements for parking spaces (from 5,100 to 5,000), ii) the insertion of a new Exhibit D (Financing Plan and Complex Budget), and iii) modifications to the eminent domain provisions.
• The primary modifications in the proposed Fourth Amendment relate to the i) respective responsibilities for the maintenance of signage in the rights-of-way, ii) the Owner’s required deliverables and the related timeline for initiating eminent domain proceedings, if needed, iii) modifications to the process for assignment of rights to third parties, including the Operator, iv) clarification on certain remedies in the event of Default, and v) inclusion of a new Exhibit E (Project Construction Schedule).
• Notes Live anticipates the project will be complete for the 2027 touring season.
FINANCIAL SUMMARY:
• The request is eligible for MCDC consideration under Section 505.152 of the Texas Local Government Code.
SUPPORTING DOCUMENTS:
• Agreement
• Exhibit