State officials approved funding to improve Hartford's XL Center Thursday.

The state will borrow $118 million to renovate the 45-year-old arena.

The goal is to attract bigger events and add luxury box seats.

The center's managers say the funding is a good investment.

"It is, honestly, between $750 million to $1 billion to build that building today. We're looking at 15% of that," says Michael Freimuth, of Capital Region Development Authority.

Capital will contribute an additional $20 million and also assume all losses.

Renovations are expected to be finished by the summer of 2026.