A Newcastle live music hub will benefit from the state's largest funding injection for venue upgrades.
King Street Hotel will receive $500,000 from the state's $38 million venue upgrade grant program.
The money will pay for key interior concert lighting improvements and other works, Newcastle MP Tim Crakanthorp will reveal on Monday, August 23.
King Street's was among the largest portions of the grants announced, matching the allocation for Sydney's prestigious City Recital Hall.
Beyond lighting, the venue will also invest in updated controls and film and video technology to vamp up its live performance space, Mr Crakanthorp said.
"Venues like King Street Hotel provide a stage for local musicians while bringing touring artists and audiences into the city," he said.
"We want Newcastle to be a place where live music doesn't just survive but thrives, and this investment is another important step in making that happen."
He said the $500,000 investment would deliver bigger and better experiences for audiences and artists.
"Newcastle has an impressive live music culture, and King Street Hotel has played an important role in that story," Mr Crakanthorp said.
"I am proud to be part of a government that is supporting and delivering for our local live music scene and night-time economy".
NSW Arts Minister John Graham descrobed the funding as a signal that the state was backing the city's arts, culture and hospitality revival.
"These venues are treasured by their local communities, by artists and music fans," Mr Graham said.
"This is about backing them with vital investments they often need but can't afford in the current climate.
"If we let our music venues fail then our night-time economies and our cultural life will suffer, and we can't afford to let that happen."
The funding announcement follows state reforms, aimed at reigniting the region's going out culture after the COVID-19 pandemic and earlier Newcastle lockout legislation.
Those measures included reduced licensing fees, extended trading hours, the formation of special entertainment precincts, and changes to noise complaints rules.
Long-term crime data shows liquor offences fell sharply in the year after the city's lockout laws were repealed.
While the overall rate of non-domestic alcohol violence in Newcastle is twice the state average, the number of incidents specifically linked to licensed premises has remained low.
Monday's grant announcement follows $120,000 announced earlier this month to establish a Darby Street venue collective.
That joins other CBD business groups at Midtown, Throsby Basin and the East End.
The Darby Street collective will funnel its funding allocation of up to $120,000 toward seasonal events in the neighbourhood, including the Darby After Dark series that aims to boost the food and cultural high street since the reopening of the renovated Newcastle Art Gallery.
