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The Clippers organization has reached an agreement to purchase The Forum in Inglewood, Calif. from The Madison Square Garden Company for $400 million cash. The iconic venue will continue to host concerts while plans for a “fan-focused community project” that includes a NBA arena and team headquarters, also move forward.

The new NBA project, which is privately financed, will house an 18,000-seat basketball arena (comparable to the Forum’s seating capacity) and be located on West Century Boulevard between South Prairie Avenue and South Yukon Avenue.

The creation of a new entity, CAPSS LLC, was spearheaded by L.A. Clippers chairman Steve Ballmer and vice chairman Dennis Wong. It puts to rest ongoing litigation surrounding plans for a new basketball arena and as part of the agreement, all of MSG’s current Forum employees will be extended employment offers by the new owner. Owning two venues will allow for better coordinated programming and improving traffic congestion around basketball games and concerts, says the company.

The deal is expected to close in Q2 of 2020, though it is subject to certain conditions.

The new arena is being developed by Wilson Meany and is currently undergoing an environmental review by the City of Inglewood with public hearings slated for this summer. The L.A. Clippers’ new arena will create an estimated 7,500 high-paying construction jobs and 1,500 permanent jobs once the complex is open. In addition to the economic and civic benefits, the Clippers have proposed a $100 million package of community benefits.

Said Ballmer: “This is an unprecedented time, but we believe in our collective future. We are committed to our investment in the City of Inglewood, which will be good for the community, the Clippers, and our fans.”

The Madison Square Garden Company operates New York’s Madison Square Garden and the Hulu Theater at Madison Square Garden, Radio City Music Hall and Beacon Theatre, among other venues. Additional MSG properties include the New York Knicks (NBA) and the New York Rangers (NHL).