Barcelona have announced that they will not pursue plans to move away from the Nou Camp, and have instead opted for a €600 million redevelopment that will see the iconic stadium's capacity increased to 105,000.
The club's directors had proposed both plans but voted against a move, and have decided to put the remodelling plan to club's 160,000 members ahead of an April referendum.
If and when the plans are given the green light, work is scheduled to begin in 2017 and completed in 2021. Barcelona will continue to play matches in the stadium during that time.
The redevelopment would see the capacity of the stadium increase to 105,000 and a new roof built to cover all spectators.
"It has been an important decision for the club - the most important in the last 50 years," said president Sandro Rosell.
"The option of building a new stadium on a new site has been dismissed as the final cost could have saddled the club and its members with debt and tied the hands of future boards of directors.
"This was a difficult decision, both options were very attractive but we decided to go ahead and stay."
According to Rossell, the redevelopment will generate an extra £24 million-per-season for the club, part of which could come from selling the naming rights to the Nou Camp.
As part of the development, the adjacent Palau Blaugrana, which hosts Barcelona's basketball, handball, roller hockey, and futsal teams, will have its capacity increased by more than 2,000 to 10,000.
Crucially for Barcelona, the development will allow 3,500 new corporate seats to be added, which will see a ring of 'super boxes' built, while the bottom tier of the stadium will be made steeper - although 10% of season ticket holders will have to be moved in order accommodate the changes.