AC Milan and Inter Milan have reportedly agreed on the future of the San Siro, with the Italian Serie A football clubs said to favour the development of a new stadium rather than the renovation of their existing home.

Italian newspaper La Repubblica said the two rivals have agreed terms on a €700m (£625.8m/$796.4m) project that will involve the development of a new stadium in time for the 2022-23 season. The stadium will be located adjacent to the San Siro on land that is currently used for parking.

In November, Milan and Inter announced the signing of a Memorandum of Understanding (MoU) in which the two clubs would work together on a stadium project. A joint taskforce was established to analyse all options, including a brand-new stadium or renovating the iconic San Siro.

La Repubblica said the new stadium will be build partly below street level to minimise its impact on the surrounding neighbourhood, while redevelopment of the local area will also be part of the project. The clubs will continue to play at the San Siro whilst work on the new facility is completed.

Redevelopment of the San Siro was said to have been ruled out owing to the challenges of Milan and Inter playing at a reduced capacity stadium whilst the work was taking place, and also having to find a temporary home during the latter stages of the work.

The two clubs are currently said to be completing paperwork on the proposal, with a view to gaining approval from the city council so that work on the project can commence by the end of the 2019-20 season.

However, approval for the project may not be straightforward with Milan Mayor Giuseppe Sala needing to give the green light to the scheme, with the municipality requiring compensation for the demolition of the San Siro, which it owns.

The San Siro first opened in 1926 and has undergone several renovations, most notably for Italy’s staging of the 1990 FIFA World Cup. AC Milan has called the stadium home since it opened, while Inter started using the San Siro in 1947.

Image: Jose Luis Hidalgo R.