Although Sydney City Council withdrew its opposition to the proposal in December, the Independent Planning Commission is about to decide.
Last year, the Department of Planning gave the proposal its nominal approval, stating that the development was acceptable and consistent with the site's strategic planning framework. It was forwarded to the commission for final approval as an important state project.
Stephen Found, the owner of the Sydney Lyric and Capitol Theatre, has long-term plans to transform The Star's 4,000-seat event centre into a two-level, 1550-seat proscenium arch theatre and a 1,000-seat live area for modern music, comedy, and cabaret nights.
The event centre, which hosts conferences, award ceremonies, trade exhibitions, concerts and gala events, would serve as the foundation for the proposed two-theatre complex. It is situated on the other end of the casino from the Sydney Lyric theatre.
The two theatres would diversify the casino's entertainment options once they were constructed.
The Star CEO Robbie Cook said his strategy for the group was to bolster its entertainment and hospitality ventures, some of which were close to sign-off but warned the casino operator could only do so when The Star had achieved economic stability.
The Government's plan to create new theatre space and establish a new theatre district centred on Sydney's George Street and Haymarket in the style of New York's Broadway and London's West End was stalled over the past year.
With an estimated two-year construction period and an additional year for interior fit-outs, a late 2025 red carpet opening is likely.