Leeds City Council has decided to build the 12,500-seat entertainment venue on a site it part owns with Leeds Metropolitan University.

The 5.1acre site beside Clay Pit Lane, close to the Merrion Centre in the city centre was chosen over options put forward by developers who own land at Sweet Street, Holbeck and near Elland Road.

It is thought council bosses will now enter into negotiations to buy the portion of land controlled by the university.

It is estimated that the new facility will be worth £28m-a-year to the local economy and create more than 300 jobs.