SEATTLE (AP) - The Seattle City Council has agreed to a deal that would build a $490 million arena that could host NBA and NHL teams.

The King County Council previously approved the plan that calls for $200 million in public money.

The City Council wanted investor Chris Hansen to address concerns about traffic congestion raised by the Port of Seattle and businesses in the area south of downtown. The agreement announced by council members Tuesday creates a $40 million transportation infrastructure fund.

Hansen has already acquired land for an arena near the stadiums for the NFL's Seahawks and MLB's Mariners.

Seattle has been without an NBA team since new owners moved the Sonics to Oklahoma in 2008.

Copyright 2013 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.