AC and Inter Milan have agreed to work towards the construction of a new San Siro stadium to be ready by 2023, according to La Repubblica, reports, www.sportspromedia.com/.
The Italian daily newspaper claims that the move would see the existing historic home of the two Serie A clubs demolished and replaced by a new, €600 million (US$680 million) venue situated just a few hundred metres away from the current site.
The publication added that plans for the new stadium have already been approved by AC Milan and the local council, with Inter likely to give the project the green light in the near future.
Both Inter and AC Milan are expected to contribute a large portion of the construction costs, while naming rights will reportedly generate an additional €25 million (US$28.3 million) per year in revenue.
As well as the new 60,000-capacity stadium, the project also includes a 5,000-seater venue for concerts and other events, along with a new shopping complex in the area surrounding the stadium.
La Repubblica also revealed that the design of the new San Siro is based on the 82,500-seater MetLife Stadium in New York City, which serves as the home of the National Football League's (NFL) Giants and Jets.
Inter and AC signed a memorandum of understanding (MOU) back in November vowing to work together on either modernising the San Siro or building a new stadium. It was then revealed in February that the two clubs were eyeing up a smaller, modern venue which would improve the matchday experience for supporters.
"We envisage a smaller capacity because the average attendance of the two clubs is 60,000," Inter chief executive Alessandro Antonello told reporters last month. "What matters is the experience for the fans, it might be a smaller stadium but an excellent one."
"We'll have the most beautiful stadium in the world," added AC Milan president Paolo Scaroni, speaking alongside Antonello.
"We want Milan to have a great stadium and make Milan the capital of football. Perhaps a new stadium would be easier, but there are also large-scale renovations like Anfield."