The Minneapolis City Council approved a nearly $100 million facelift for the aging Target Center in a unanimous vote Tuesday, according to WCCO.
The project unveiled last month includes a redesign of the arena's exterior, expanded club areas, improved fan amenities and more seating capacity for concerts.
Minneapolis has agreed to pick up half the cost while the Timberwolves and AEG, the Target Center's management company, will fork over the other half.
The deal also extends the leases for the Wolves and the Lynx through 2032.
An analysis shows the Target Center generates about $100 million each year in economic activity, with basketball accounting for about a third of that revenue, FOX Sports North reported.
FSN said the city also agreed to set aside a $50 million capital expenditure fund for future updates to keep the 23-year-old arena looking fresh.
Construction will kick off next summer and is expected to be complete in 2016.
WCCO says the project will create 850 construction jobs and 900 jobs at the arena.
Click here to see more preliminary renderings and blue prints.