Major League Soccer announced on Thursday that San Diego would become its 30th franchise, starting play in the 2025 season.
British-Egyptian billionaire Mohamed Mansour has paid a record expansion fee of around $500 million, a person with knowledge of the plans has told AFP.
The team will play at the recently built 35,000-capacity Snapdragon Stadium, home to the San Diego Aztecs college football team and the San Diego Wave, a National Women's Soccer League franchise.
The new San Diego MLS club, whose name has yet to be revealed, will be the league's fourth team in California, joining the San Jose Earthquakes, Los Angeles Galaxy and Los Angeles Football Club.
The previous record fee paid for entering MLS was the $325 million committed by Charlotte FC in 2019. The original entry fee to MLS, for its first season in 1996, was $5 million.
MLS Commissioner Don Garber has indicated the league could be looking for two more markets in the coming years.
Las Vegas, Sacramento, Detroit, Phoenix and Tampa have all been mentioned as possible future locations for new teams.
Mansour's ownership group also includes the Sycuan Band of the Kumeyaay Nation, a federally recognized Native American tribe located in the San Diego area.
The 75-year-old Egyptian-born Mansour is a British citizen and lives in London
He is chairman of his family's Mansour Group, which is involved in the automotive industry, financial services and real estate. Mansour also serves the senior treasurer of Britain's Conservative Party.
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