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Not a problem here as far as invasiveness goes but it is a tough as nails plant anywhere. I would try to rejuvenate it as well, if they love it enough to be keeping it, and cut it back altogether. That would work here in NC, at least.
We have had Miscanthus that dies/rots out in the middle as well. This is a tough job for most ornamental grasses, but if you can dig out the center area that is rotted out stick a 3-5g new plant in the middle and it will fill in like new. You may be digging through a "Welcome" mat though with Pampas Grass roots.
Got any pics of this monster?
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