WASHINGTON – D.C. Council unanimously signed off on a $515 million deal to keep the Washington Wizards and Capitals in Chinatown Tuesday.

There has been a lot of activity this year when it comes to where the DMV’s NBA, NHL and NFL teams would play.

It was just over a year ago that Monumental Sports and Entertainment announced they’d move to Alexandria, taking the Washington Wizards and Capitals with them, but that deal fell through. 

Now, the D.C. Council has approved a deal struck between the Mayor’s Office and Monumental Sports and Entertainment that would give the District control of the arena and guarantee the team stays until at least 2050.

Nina Albert is the Deputy Mayor for Planning and Economic Development. She says interest in the area surrounding the arena is growing and will continue to.

“It’s really been since March. You see businesses, property owners, and developers double-downing,” Albert said. “So they’ll be, you know, plans will be revealed.” 

READ MORE: Caps, Wizards not moving to Potomac Yard, staying in DC

 Here’s the crux of this deal: D.C. spends about $87 million to purchase the arena, committing a total of $515 million over three years towards renovations.

Monumental has committed to spending just under $300 million and taking on the responsibility for any additional costs of the renovation.

A source tells FOX 5 that the arena contributes roughly $75 million to the District’s tax base annually.

Council Member Charles Allen says this is a good deal for the District and keeps a huge anchor downtown.

“You couldn’t pick a better spot. It’s right on top of Metro. It’s exactly what we want. And, again, it’s the activation. That’s why we’re investing in that, is the return we get by investing public dollars in an arena that’s active almost every day of the year,” Allen said. 

Next, Mayor Muriel Bowser will sign the bill and then this summer, a three-year construction project will begin.

The bulk of the work will happen over the summer but fans may notice construction in-season that doesn’t affect the ability to host games and events.