And here is the NY Times article from March 20, 1987 about the Shuberts finally getting Phantom booked into the Majestic:
The Shubert Organization this week captured one of the few prizes left in a boom-or-bust industry when a British producer, Cameron Mackintosh, agreed to bring ''The Phantom of the Opera,'' the biggest hit of the London season, to the Majestic Theater, a Shubert-owned house, in November.
To get the lucrative show, however, Shubert - Broadway's biggest theater owner and among its most influential producers - made significant concessions to Mr. Mackintosh, including paying for more than $500,000 worth of construction in the theater specifically for the show, according to sources close to the negotiations who asked not be be identified.
The $7 million Andrew Lloyd Webber musical, which is staged by Hal Prince and produced by Mr. Mackintosh, opened in October at Her Majesty's Theater in the West End. At the time, New York's three major theater owners - Jujamcyn Theaters and the Nederlander Organization, in addition to Shubert - began negotiating with Mr. Mackintosh for the Broadway booking, which is expected to generate about $40,000 a week in rent. The Independence of Success
Mr. Mackintosh's success as a producer of such hits as ''Cats'' and ''Les Miserables'' has won him independence from the Broadway theater owners, who often produce the shows in their houses. In December, he told the president of the Shubert Organization, Bernard Jacobs, that the Majestic was not suitable for ''Phantom,'' in the belief that the theater's steeply raked auditorium and a balcony that overhangs the 10th row of the orchestra would limit views of some of the musical's special effects, particularly those that require a view of the auditorium ceiling.
Among the other theaters considered were the Mark Hellinger, which is owned by Nederlander, and the Martin Beck, which is owned by Jujamcyn. The Majestic and the Hellinger each have about 400 more seats than the Beck, and thus would yield a considerably higher box office gross. But the Beck most closely resembles the show's London home, the 1,100-seat Her Majesty's.
Though the producer was on the verge of making a deal for the show to go into the Beck, Mr. Jacobs was determined to book it into the Majestic, widely regarded as one of the best houses on Broadway. An Expert Opinion
The Shubert Organization dispatched a consultant, Pete Feller, who is one of the most respected theater technicians in the industry, to see ''Phantom'' in London and to determine whether it could go into the Majestic without a change of design.
Mr. Feller, reached yesterday in New Haven, where he was working on a touring production of ''Cats,'' said he had been sent to assess whether any Broadway theater could reproduce the show being seen in London. ''No Broadway theaters are as deep as British theaters,'' Mr. Feller said. He suggested some alterations to the Majestic that would make the potentially more profitable theater feasible without substantial set design changes.
''What has made the Majestic a possibility,'' Mr. Mackintosh said, ''is the Shuberts taking on the structural changes.'

Though the total cost of those changes is unclear, estimates range between $500,000 and $1 million. Many of those in the industry who have seen the show in London maintain that there still will be seats with obstructed views - a problem Shubert has had with both ''Cats'' and ''Evita.''
''In every show there are some seats that are borderline,'' Mr. Jacobs said Wednesday. ''If there are any seats we deem to be obstructed, we will label them as such and price them accordingly.'' Mr. Jacobs said he felt there would be no obstructed-view seats for the show.
With the booking of ''Phantom'' at the Majestic, the Shubert Organization adds one more musical with a potential for running several years or longer to a list that includes, ''Cats,'' ''Les Miserables,'' ''A Chorus Line,'' ''Drood'' and ''42d Street,'' the Majestic's current tenant. ''Any time you put a theater away,'' Mr. Jacobs said, ''it's good for the business.''