Having rebuilt the theatre after a fire in 1945, Hansen Yuncken was again called upon in 1994 to carry out a $35m restoration and refurbishment of the 1920s "Picture Palace" theatre, Plaza Ballroom and associated areas.
The project faithfully recreated the historic establishment using old photographic records, following a 25 year period of disuse and neglect. It also called for the installation of sophisticated fire systems, electrical services, audio visual services, and mechanical airconditioning. Exacting coodination was needed behind the existing history wall and ceiling paces, and the stage had to be raised by several metres to allow for storage of stage scenery.
During the course of the project, the plans were altered to incorporate a new fly tower: a major structure that ran through the height of the building from the foundations to the roof. Its construction demanded the demolition of already completed backstage areas.
By far the most challenging aspect of this difficult project was the reproduction of the Plaza Ballroom below the theatre, which was totally gutted during the City Square development in the 1970s. Using original photos, craftsmen and specialist contractors employed traditional skills to recreate the moulded plaster, heritage lighting, painting and metalwork. It was a successful and important project for the restructured company at a time when Melbourne was recovering from a long recession.