Macedon Ranges Council and Frontier Touring are entering into a new five-year agreement to hold up to four concerts per year in the East Paddock at Hanging Rock.
Macedon Ranges mayor, Roger Jukes, said council conducted surveys earlier this year to assist in making a decision on whether concerts should continue to be held at Hanging Rock.
"We invited feedback from local residents, businesses and the broader community and the results were extremely positive," he said.
The results showed that 84 per cent of residents, 79 per cent of the broader community and 97 per cent of businesses supported future concerts at Hanging Rock.
Frontier's Michael Gudinski welcomed the new agreement.
"I'm very pleased that Frontier Touring and Macedon Ranges Shire Council have agreed for the staging of concerts at Hanging Rock for a further five years.
"The extended term allows us the ability to plan further ahead and will mean we can implement a number of exciting initiatives that will help ensure Hanging Rock continues to attract the high calibre artists that we have had to date in Leonard Cohen, Rod Stewart and Bruce Springsteen," he said.
The two Bruce Springsteen concerts that were attended by 34,000 people in March this year are estimated to have contributed $9.7 million to the region and the Leonard Cohen concert that was held in 2010 won a Helpmann Award for best international contemporary concert.
"It has long been a passion of mine to put Hanging Rock on the international map as an iconic concert location and help to further develop the Macedon Ranges area as a leading tourist destination. It already feels we've made major inroads into achieving this over the past three years. The involvement and support of local wineries, vendors and the wider community has further added to the appeal of these concerts and we're looking forward to continuing the development of these relationships over the next five years," Mr Gudinski said.
The new five-year agreement is effective from October 31, 2014 and allows for up to four concerts per year. "Frontier have been highly professional to deal with and have shown the ability to continually improve arrangements and present professional and well-organised concerts, and we are looking forward to continuing this partnership over the next five years," Cr Jukes said.