Manchester City will expand Etihad Stadium in two phases.
Work to increase capacity from 47,670 to 62,170 will begin imminently but with the South Stand developed first, to make it a 54,000 seat stadium, by the start of the 2015-16 season.
The club's chief commercial director Tom Glick said the expansion was "a hugely significant moment for City".
The stadium was originally built for the 2002 Commonwealth Games.
Via BBC