The University of Massachusetts and the University of Michigan are set to be combined as the university and state universities merge under a new deal reached on Thursday.
The merger of the universities is expected to bring more than 4,500 jobs to the region and will provide the two universities with an estimated $2.5bn in economic benefits over the next decade.
The deal was struck during a visit by President-elect Donald Trump to Ann Arbor and is the culmination of years of negotiations.
The move to the merger, which is expected in 2019, will save about $2bn in the 2018-2022 budget.
A merger between the two institutions could create a new, larger campus, but there will also be a number of new jobs, including in technology, in addition to those from the university’s campus.
The new campus will also contain new academic facilities.
A new office for the president of the University at Buffalo will also join the campus.
It will house a new campus-wide communications team.
Trump is set to nominate Michigan State University President Beverly Young Nelson as the US secretary of education in the next few weeks.
The new school, which will be called the University University of Buffalo, is set for completion in 2019.