RALEIGH — NC State can now spend money that it receives as part of its men’s basketball arena naming rights deal in more ways, a change that comes as athletics departments search for additional funds in a revenue-sharing era.

The Centennial Authority, which manages Raleigh’s Lenovo Center, approved the change at its meeting Thursday. NC State requested the broader use earlier this year.

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Lenovo signed a six-year, $60-million deal to rename PNC Arena in September. NC State has played men’s basketball home games at the venue since it opened in 1999.

Previously, NC State was limited to spending its portion of the naming rights money – which now is about $500,000 per year — on “capital enhancements, improvements, expansions, repairs and replacements associated with maintaining the arena and accessory parking areas and access drives.” 

That led to numerous upgrades of the team’s locker room – at a time when facilities mean less than before because players can be paid directly by the schools. Just this year, the program spent more than $285,000 for locker room repairs.

“NC State, about every three years, has used funds to upgrade or redo the men’s locker room,” said Kieran Shanahan, the vice chairman of the Centennial Authority board. “And I think they decided that, you know, doing that every three years is probably not necessary. They could use these funds better.”

With the change, NC State can use the money to support all aspects of the men’s basketball program, noting that increased attendance is a benefit to the arena.

“It’s a wonderful thing for us and we greatly appreciate the additional funding,” NC State athletics director Boo Corrigan told the board.

Under new head coach Will Wade, NC State has already sold out its home opener for the first time since 1999, its first game at the off-campus arena. Athletics director Boo Corrigan said the program has sold 2,000 new season tickets for Wade’s first season, pushing the Wolfpack over 10,000 season tickets sold.

There are some restrictions on the use of the money. It can’t be used for compensating athletes, for payments to organizations that compensate athletes or for expenses in support of games played outside of the arena. 

Schools, as of July 1, can share up to $20.5 million in revenue with athletes, an added expense for athletic departments. NC State’s athletics expenses are expected to rise to about $147 million, including revenue sharing, in 2025-26, according to figures presented to the university’s board of trustees.

As part of the agreement, NC State agreed to keep $100,000 in an arena enhancement fund for projects at the venue. But the Wolfpack will have access to more than $400,000 that is in the fund as of June 30.

NC State shares the arena with the National Hockey League’s Carolina Hurricanes, who operate the arena under an agreement with the Centennial Authority. The Hurricanes receive the majority of the revenue from the naming rights deal and face no restrictions in how they use the money. 

The arena, located next to NC State football’s Carter-Finley Stadium, is undergoing the first phase of a  $300-million renovation, including adding a view bar to the third level and new suites to the arena level. The projects won’t be complete before the hockey and basketball seasons begin.

The Hurricanes have rights to develop up to $80 acres around the arena in a separate development deal. The first development projects are expected to begin this winter.

NC State is seeking a naming rights sponsor for Carter-Finley Stadium.