- Venu closed a $60M sale-leaseback with Store Capital on the land under McKinney’s Sunset Amphitheater, with proceeds repaying a roughly $20M bridge loan and funding construction.
- The 20,000-seat venue grew from a $220M project announced in March 2024 to $330M, and its opening slipped from 2026 to the first quarter of next year.
- Sale-leasebacks are filling financing gaps on large entertainment projects, with McKinney supplying $26M in incentives and grants while a net-lease REIT takes the land.
A $60M sale-leaseback is how Venu plans to finish its McKinney amphitheater after losing a piece of its funding, according to Bisnow.
Store Capital bought the land under the 20,000-seat Sunset Amphitheater and its garage, and the proceeds will repay a bridge loan of roughly $20M from Ryan LLC and fund the rest of construction, Bisnow reported.
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A financing reset for a growing entertainment project:
Venu Holding Corp. secured $60M through a sale-leaseback for the land beneath its Sunset Amphitheater in McKinney, Texas. The transaction will help complete the $330M project, which is targeting a first-quarter 2027 opening after its scope expanded and financing challenges emerged.
The details
Originally announced in March 2024 as a $220M public-private partnership, the project sits next to the Sheraton McKinney Hotel at U.S. Highway 75 and State Highway 121.
The 20,000-seat venue will feature covered seating, nearly 300 firepit suites and a members-only lounge tied to former Dallas Cowboys quarterback Troy Aikman.
McKinney approved $18M in incentives in 2024, while two local development corporations contributed a combined $8M in grants.
Sale-leasebacks offer another funding route
The deal allows Venu to monetize the land while leasing it back, preserving its ability to develop and operate the venue. Proceeds will repay approximately $20M in bridge financing from Ryan LLC, with the balance supporting construction.
STORE Capital, an Arizona-based net-lease REIT with investments in more than 3,500 U.S. properties, gains ownership of an asset tied to a long-term operating business.
Why it matters
Sale-leasebacks can unlock capital without diluting shareholders, but they also create ongoing lease obligations. Venu will need sufficient event revenue to cover operating costs and rent once the venue opens.
The deal also highlights the role of public-private partnerships in bringing large entertainment projects to market, with municipalities and private investors sharing different parts of the financial commitment.
What’s next
Venu’s immediate focus is completing construction ahead of the planned first-quarter 2027 opening. The transaction addresses a major funding need, though delivery timelines and operating performance remain key milestones.
The company is also developing a 12,500-seat, $150M amphitheater in Webster, Texas, and pursuing projects in other U.S. markets. The McKinney venue will be an important test of whether Venu can scale its entertainment-focused development strategy nationwide.
