One half of the Vancouver Art Gallery's outdoor space was transformed and unveiled on Thursday.

The north plaza was officially reopened as a massive public gathering place, after undergoing a $9.6 million upgrade.

"We at the city have the honour of maintaining this remarkable public gathering space, and we are excited to see how it will be used going forward," said Paul Mochrie, deputy city manager for the City of Vancouver.

The new plaza is 4,197 square metre and has the capacity for up to 1,500 people.

In addition to replacing the once grassy pavilion with more durable tiles and adding more seating, the city says a large part of the project's cost was replacing an underground water membrane.

On the east side of the plaza, which is still under construction, will be a bus stop that will serve as a potential food stand during public events or as a tourist information centre.

The art gallery's north plaza has seen many protests and gatherings. In 2011, it was home to the Occupy Vancouver tent city movement.