An £800,000 plan to restore Liverpool's only civic theatre in time for the European Capital of Culture 2008 is being put before councillors.
The Neptune was closed in June
The Neptune Theatre, in Hanover Street, shut in June after it failed to comply with the Disability Discrimination Act and health and safety legislation.
Liverpool Council will be asked to approve the upgrade of the 92-year-old grade two listed building on 22 July.
It will also be asked to commit itself to a new 15-year lease on the theatre.
A report to the executive board is recommending the city council spends £804,500 on redecoration, rewiring, toilet improvements and asbestos removal.
The council will also be asked to sign a new lease on condition work is carried out to repair the leaking roof, restore the window frames and overhaul the heating and ventilation systems.
Council leader Mike Storey said: "The Neptune Theatre is one of Liverpool's cultural jewels and is a key component of our Capital of Culture programme.
"The money we have set aside for its restoration will give the Neptune a new lease of life in time for European Capital of Culture 2008.
"It means it will be able to play a central role in the programme of events during the year."
Staff currently employed at the theatre will be redeployed to other duties while the work is being carried out.
It is estimated the theatre will reopen in September 2007.