Plans to transform the Brabazon hangars at Filton in Bristol into a new arena have been given the green light by South Gloucestershire Council.
The plans were approved by Bristol City Council earlier in March.
The new YTL Arena will create more than 500 new jobs and inject £1.5 billion into the local economy over 25 years, as well as raise the profile of the city and wider region, YTL said.
The plans still need to be approved by South Gloucestershire Council and will also go before the government.
The scheme uses the 28,000m2 floorspace of all three hangars to create something unique in the south west: an arena, exhibition and leisure space all under one roof.
The arena will be in the Central Hangar and with 17,080 capacity, it will be the third largest in the UK after Manchester Arena and the O2.
The East Hangar will house a new Festival Hall; a flat floor event space for conventions, exhibitions and working in tandem with the arena to attract large scale events.
The West Hangar, The Hub, will be a place to eat, work and play, with leisure facilities, food and drink and home to small or start-up businesses.
The venue would also be used to host sporting events
If the proposals are given the go ahead, YTL plans to be opening the doors to the public in early 2023.