Lollapalooza will stay in Chicago, but at a potentially higher cost for fans.
The Chicago Park District struck a new deal with Lolla organizer C3 Presents to keep the annual music festival in Grant Park through 2021, parks officials told Crain's Chicago. Part of the deal says that for the first time since its move to the Windy City, Lollapalooza must pay amusement and liquor taxes.
Chicago, Cook County and Illinois could get $4.05 million this year from tax revenue, according to Crain's.
To help with the extra cost, concert promoter reps said they will increase the cost of Lollapalooza tickets. By how much? It's yet to be determined, C3 co-owner Charlie Jones told Crain's.
Per a deal struck in 2005, the music fest was exempt from Chicago and Cook County amusement taxes, saving promoters C3 Presents LLC hundreds of thousands last year. The festival got its 2011 waiver from the city's 1.5 percent tax in the final days of the Daley administration.
Since then the festival has increasingly grown. Last summer a record 270,000 concertgoers attended over three days last summer.
Jones told Crain's the new deal means a "significant jump in expenses" but he's happy to keep Lollapalooza in Chicago.