It replaces an old MTA bus yard that many area residents see as a blight on their neighborhood.
As part of the deal, an MTA site at the 10 Freeway in San Pedro gets two large digital billboards.
Clear Channel Communications had sued the MTA when it lost some of its billboards, and the deal resolves the lawsuit.
Caltrans also signed off on the deal because of concerns the billboards would cause traffic issues.
