Madison Square Garden executives have unveiled plans for a $500 million renovation of the 40-year-old arena. The top-to-bottom overhaul includes the creation of a sunlit entrance on Seventh Avenue, luxury suites near the floor and the complete rebuilding of the seating bowl. The project would double the ceiling height of the entrance off Seventh Avenue, near 33rd Street. A glass canopy would be built over the area leading to the ticket windows. An upper-level party deck would let patrons mingle during the game. Last week, the plan to replace Penn Station with Moynihan Station was left for dead when the Dolan family, the arena’s owners, announced they would not move the Garden. The city must approve the renovation. The Dolan family insists that they are not leveraging their negotiations with government officials by backing out of the deal.