Irwin Chanin had a personal stake in the layout: as a poor Cooper Union student he could afford only top-gallery seats, reached by a separate door, so in his own houses every ticket holder would share one entrance. The complex, built in 1926 and 1927 on the site of twenty brownstones, also held the Theatre Masque and the Royale, today the John Golden and the Bernard B. Jacobs, plus the Lincoln Hotel, now the Row NYC Hotel. The Majestic, at about 1,800 seats, was meant for revues and light opera.
It opened on March 28, 1927, with Rufus LeMaire's Affairs, a revue that lasted 56 performances. The Shubert brothers bought into the Chanin houses in 1929, ran them from 1930 and owned them outright from 1945. In the mid-1930s it had more seats than any other legitimate Broadway house, so producers began moving proven hits here.
Rodgers and Hammerstein favored the house, opening Carousel, Allegro, South Pacific and Me and Juliet here between 1945 and 1953; South Pacific won the 1950 Pulitzer Prize for Drama. Later came The Music Man (1957), Camelot (1960), Golden Boy (1964) and The Wiz (1975), and in 1981 42nd Street moved in from the Winter Garden.
In 1987 42nd Street left for the St. James so the house could be refitted for The Phantom of the Opera, with an enlarged proscenium opening, a stronger roof for the falling chandelier and a pit dug under the stage. Andrew Lloyd Webber's musical opened on January 26, 1988, passed Cats in 2006 as Broadway's longest-running show and still held that record when it closed on April 16, 2023, after 13,981 performances. Afterward, the vertical sign went back from black to its first color, red.
The Landmarks Preservation Commission protected both the facade and the interior on December 8, 1987. A court challenge by theater owners against these designations failed in 1992.