The Data Behind Raleigh’s $40M Red Hat Amphitheater Relocation

The Red Hat Amphitheater in Raleigh, N.C., is moving one block south.

The 5,990-seat, 1.25-acre amphitheater has been closed and under construction since April 2025, making way for the expansion of the adjacent Atlantic Union Bank Convention Center (formerly the Raleigh Convention Center).

The need for a larger convention facility was the primary driver behind the decision.

The amphitheater has operated at 500 South McDowell Street since 2010. The project to move it costs $40 million. But its current plot of land, was never intended to be a permanent site for the venue, nor was the venue expected to be a mainstay.

The site has always been designated for a future convention center expansion.

The wrinkle is that over the past 15 years, the amphitheater has become much more than a temporary tenant.

"It has become such an important community asset for downtown that when the time came to use the land as originally intended, we had to find a way to keep this venue alive because it just meant too much to Raleigh to lose,” said Kerry Painter, executive director of the Raleigh Convention and Performing Arts Complex.

The $33 Million Question

Painter didn’t point to one data point that proved the Atlantic Union Bank Convention Center needed to expand. Instead, the city kept hearing the same thing from prospective clients: that the existing facility couldn’t accommodate them.

The new Red Hat Amphitheater opens in 2027. Credit: Greater Raleigh CVB

Painter said the city “couldn’t ignore” the amount of word-of-mouth feedback from groups who didn’t end up booking because they needed more space.

In the early days of talks surrounding the convention center’s expansion, it meant giving up what had become a proven economic engine. So Raleigh had to determine whether the Red Hat Amphitheater was worth preserving.

Here’s what the numbers suggest: The venue generates roughly $33 million in economic impact. Its 2024 season was a record-breaker, generating $33.7 million from roughly 221,000 fans across 50 concerts.

And when officials went before Raleigh City Council to make the case for preserving the venue as part of the convention center expansion, downtown businesses showed up with their own data and anecdotal evidence.

"The owners of downtown bars and restaurants came out in droves to testify why keeping this economic impact engine was so important to them,” Painter said. One local restauranter reported a 120% increase in food and beverage sales on concert nights.

“All these businesses downtown experience such a significant bump to their sales as a result of the amp that losing it would’ve threatened the survival of their business in many cases.”

During the 2025 concert season alone, visitor spending tied to the amphitheater generated $934,572 in direct local tax revenue, according to Painter. Raleigh also tracks and shares these figures with the businesses that benefit from the visitor economy. The goal, Painter said, is to put the destination’s tourism story into context for local business owners, to give them a reason to continue investing in it.

Red Hat Amphitheater attracted 122,965 room nights last year. Credit: Greater Raleigh CVB

After all, concertgoers need somewhere to eat before the show. They may need a hotel room afterward. And in Raleigh, 85% of restaurants are locally owned and independent.

The overnight-visitor numbers tell a similar story. Last year, 122,965 hotel room nights were attributed to concerts at Red Hat Amphitheater, with large visitor shares coming from Miami, Chicago, and Torrence, Calif., Painter said.

Raleigh’s Development Boom

The amphitheater’s growing economic impact and the forthcoming addition of 298,100 square feet at the convention center (bringing its total square footage to 798,100) aren't the only sign that Raleigh’s downtown demand is ramping up.

Development around the convention center is escalating, most notably via a 29-story, 600-key Omni Raleigh Hotel slated to open in late 2028. It will be positioned catty-corner between the convention center and the Martin Marietta Center for the Performing Arts.

The hotel will bring another 61,000 square feet of dedicated venue space to the city’s downtown, including a 20,000-square-foot ballroom.

The relocated Red Hat Amphitheater, meanwhile, will have “slightly less” seating capacity due to the constraints of its new lot. But Painter assured that the smaller footprint will come with upgrades designed to maintain its appeal, including “enhanced sight lines, more luxurious amenities, and a better artist experience.”

The venue is expected to reopen for the 2027 concert season.

At roughly 6,000 seats, it will sit neatly between the 2,354-seat Memorial Auditorium theater across the street and the Coastal Credit Union Music Park at Walnut Creek 20,000-seat amphitheater less than 5 miles down the road. Painter called it “the perfect sandwich of venues for our city."

Photo Credit: Greater Raleigh CVB

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