The Milan City Council on Tuesday approved the sale of the San Siro stadium and surrounding land to the local clubs AC Milan and Inter Milan for 197 million euros ($230 million), paving the way for its demolition and the construction of a new stadium.

San Siro stadium was built in 1926 with its stunning spiral staircases surrounding the exterior, and was renovated to host the 1990 World Cup but lacks the facilities found in other European football stadiums.

The two clubs, which have long shared the historic stadium, see building a modern shared stadium as vital to boosting their matchday revenues, which lag behind their European rivals.

Last week, the clubs hired two architectural firms to work on a new stadium with a capacity of 71,500 seats, as part of a wider redevelopment of the area including commercial and residential buildings.

The plan to demolish San Siro and replace it with a modern stadium was first discussed in 2019 and faced opposition from politicians, local citizen committees, and others who want to preserve one of Italy’s football temples.

Anna Scavuzzo, Deputy Mayor of Milan, said after a city council session lasting about 12 hours and ending in the early hours of Tuesday: “We tried to turn a new page, and we are still only at the beginning.”

Under the clubs’ projects, San Siro, which will host the opening ceremony of the Winter Olympics next February, will continue to host matches until the new stadium near the current site is ready.

The old stadium will be demolished except for the heritage section that forms part of the second floor.

Italy is under increasing pressure to improve the quality of its stadiums, driven by support from foreign investors owning local league clubs and the need for more stadiums for the Euro 2032 tournament, which it will co-host with Turkey.

The stadium is officially named Giuseppe Meazza after the striker who played for both Milan and Inter Milan in the 1920s and 1940s. San Siro is the largest stadium in Italy with a capacity of about 76,000 spectators and also hosts live music concerts.