Philadelphia Mayor Cherelle Parker announced a landmark agreement with the 76ers to build a new $1.3 billion arena in the heart of downtown, despite pushback from Chinatown residents concerned about the impact on their neighborhood. The decision to keep the NBA franchise in Philadelphia was unveiled Wednesday and will be presented to city council for approval.

"This is a historic agreement," said Parker in a video posted to social media. "I wholeheartedly believe this is the right deal for the people of Philadelphia. To the people of Chinatown, please know that I hear you. We have the best Chinatown in the United States, and I am committed to working together to support it."

The deal comes after New Jersey’s governor offered $400 million in tax breaks to entice the team to build the arena across the Delaware River in Camden. However, the 76ers have been clear about their preference for staying in Philadelphia. Their current lease at the Wells Fargo Center, a South Philadelphia venue they share with the NHL’s Flyers, expires in 2031. Team owners say the new arena, dubbed 76 Place, would revitalize the retail area near City Hall and take advantage of the city’s extensive public transportation network.

Josh Harris, managing partner of Harris Blitzer Sports & Entertainment, expressed gratitude for Parker’s backing, stating, “We look forward to advancing to the next steps with city council.”

However, Chinatown residents and activists are wary of the development’s potential to displace vulnerable members of their community and increase traffic in the historically pedestrian-friendly neighborhood. Activists with the Save Chinatown Coalition have been vocal in their opposition, citing concerns of gentrification and forced displacement of low-income residents and immigrants.

Debbie Wei, a leader of the coalition, criticized the mayor’s decision, saying, “The mayor alone should not decide whether our community should live or die.”

The debate over the new arena is far from over, with Chinatown activists pledging to continue their fight. Mayor Parker, who inherited the issue in January, has promised ongoing dialogue with the community but insists the new arena is in the city's best interest.