The Philadelphia 76ers and Comcast Spectacor have reached a deal to allow the team to remain in South Philadelphia after more than two years of posturing,

The Philadelphia 76ers have decided not to build a $1.3 billion downtown arena. PHILADELPHIA — The Philadelphia 76ers have decided not to build a $1.3 billion downtown arena, a surprising move that comes just weeks after the team received approval for the controversial project from the city council.

Plans to build an arena for the Sixers in Center City have fallen through, and the team plans to stay in South Philadelphia, sources close to the negotiations say.

After all the controversy regarding a new arena in Center City, the Philadelphia 76ers are reportedly staying in South Philadelphia. The Sixers have reportedly agreed to a deal with Comcast Spectacor to stay in the South Philadelphia sports district.

The stunning reversal comes as a relief to critics of the plan to put a $1.3 billion arena near City Hall at the edge of Chinatown.

The Philadelphia 76ers will partner with Comcast Spectacor to build a new arena in South Philadelphia and abandon a deal to move downtown.

The ownership groups of the Philadelphia 76ers and Flyers announced plans to build a new arena in South Philadelphia that would open in 2031.