Harris Blitzer Sports & Entertainment announced on Monday a joint venture with Comcast Spectacor to build a new arena in South Philadelphia for the NBA’s 76ers and the NHL’s Flyers.

The deal represents a reversal from previous plans to build an arena in the Center City district of Philadelphia.

Harris Blitzer and Comcast Spectacor have entered into a binding agreement for a 50-50 stake in the project at South Philadelphia’s Sports Complex, which is slated to open in 2031. It will include the revitalization of Market East in Center City, the original proposed location for an arena. In December, the Philadelphia 76ers received approval to build a $1.3 billion arena downtown after more than two years of contentious negotiations.

The deal announced Monday will give Comcast a minority stake in the 76ers and naming rights to the arena. The Philadelphia-based company will also join HBSE’s bid to bring a WNBA team to the Liberty City.

Comcast Spectacor is already majority owner of the Philadelphia Flyers.

“From the start, we envisioned a project that would be transformative for our city and deliver the type of experience our fans deserve,” said HBSE’s Josh Harris, David Blitzer and David Adelman in a statement. “By coming together with [Comcast CEO Brian Roberts] and Comcast, this partnership ensures Philadelphia will have two developments instead of one, creating more jobs and real, sustainable economic opportunity.”

In committing to both investments, the companies say they will create thousands of jobs and generate billions of dollars in economic activity for the region.

“This has the potential to benefit our city for generations to come,” said Philadelphia Mayor Cherelle Parker during a press conference Monday.

Disclosure: Comcast is the parent company of CNBC.