Perth Theatre is to receive a £2m makeover as part of a project to boost cultural facilities in the town.
£2m will be spent refurbishing the Edwardian theatre
Also proposed are the development of an arts centre, artists' workspaces and new facilities for young musicians.
A £150,000 feasibility study will look at the possibility of creating a cultural campus in the area around the Concert Hall and Mill Street.
In addition, ways of improving access to the area's archives and museums collections will be considered.
Jane Spiers, chief executive of Horsecross which runs Perth Theatre and Perth Concert Hall, welcomed the investment in the A-listed Edwardian theatre.
She said: "This announcement brings our dreams for the theatre one step closer to reality.
"It is a beautiful building, but a grand old lady beginning to fall apart at the seams.
"This investment gives us the chance to restore the historic auditorium and upgrade the whole building with a view to ensuring its continued success for the next 100 years.
"Our aspirations for the theatre include a new studio space for music and drama focussing particularly on younger people as both participants and audience.
The auditorium will be restored and access improved
Ms Spiers added that access throughout the building would also be improved.
A Perth and Kinross Council spokeswoman said: "Having access to high quality arts, music, historical collections, libraries and theatre is a major contributor to feeling good about yourself and the place in which you live.
"The last few years have been very successful for Perth and Kinross with such success stories as the Concert Hall and Perthshire Festival of the Arts, our museum's collection achieving the status of national significance and many visitors coming to the area to enjoy events such as T in the Park.
"Together with its history and natural environment, Perth and Kinross has many advantages and is already becoming the vibrant area it aspires to be."