The owners of beloved Hay Street venue Piccadilly Cinema have detailed plans to reopen the space as a live music venue.

As ABC reports, the cinema's owners are looking to renovate the space, transforming its three-theatre layout from the ‘70s into a single room that would hold just shy of a thousand people.

Speaking with ABC, spokesman Terry Posma said promoters Mellon Events were “very interested in taking on the lease of the theatre”.

"The way they are looking at the theatre, it could be used for not only music but also live stage plays.

"Maybe 18 months from now we could be seeing concerts at the Piccadilly again."

The reopening has been made possible in part due to the city council offering significant rate reductions.

The cinema opened in 1938 and stopped screening films four years ago due to the owner's suffering from health issues.