New Jersey and New York officials have reached agreement on the need for a new bus terminal on Manhattan's West Side.

The Port Authority of New York and New Jersey on Tuesday announced a deal to replace the current 66-year-old Port Authority Bus Terminal, which is on the west side.

New Jersey officials have pressed for building the new bus terminal on Manhattan's west side in order to provide one-seat service for the 110,000 weekday commuters who travel in and out of the terminal daily.

Several New York officials wanted the terminal moved or built in New Jersey. They raised environmental and health concerns and were worried the agency would be forced to take properties through eminent domain.

Five proposed designs will be revealed on Thursday.