Proposals to demolish Meadowbank Stadium and build a smaller £25m sports centre were agreed by councillors in Edinburgh last night.
Under the new plans, the 16,000 seater stadium will be replaced with a 5,000 seater arena, and around 8.5 acres of land will be sold to housing developers.
The smaller arena would be funded through £6m of council money, a £2m sportscotland grant and £17m from the sale of land.
Tory councillors joined forces with the council's Liberal Democrat-SNP administration to vote through the proposals.
Officials had warned that refurbishing the existing stadium and indoor sports complex could have cost about £40 million, and the city would probably have been left with sub-standard facilities.
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