AUBURN HILLS, Mich. (WXYZ) — The Palace of Auburn Hills has been sold, and demolition on the arena is reportedly expected to begin in the fall. The buyer is a joint venture between Schostak Brothers & Company, which is a real estate development firm based in Livonia, and Detroit Pistons Owner Tom Gores. The news was first reported by Crain's Detroit.

According to a press release from the Pistons, they location will be turned into a mixed-use space for corporate offices, research & development and technology companies. The Pistons still maintain corporate offices at The Palace, but are expected to move business operations to the Henry Ford Detroit Pistons Performance Center in the New Center area of Detroit in the fall.

“Auburn Hills has been a great home to our franchise for a long time,” Gores said in a release. “This investment will allow us to stay connected in a way that will create new opportunities for people who live and work in the area.”

“Schostak Brothers is ready to take the lead and use our expertise in complex redevelopments to create a new and exciting next chapter for The Palace and its surrounding property,” Jeffrey Schostak, the company's president, said. “We are looking forward to working with Tom Gores’ organization and our partners at the City of Auburn Hills, Oakland County and the State of Michigan on this project, and we’re excited about the prospects for this site.”

A specific timeline for development of the property has not yet been announced.

"News of this joint venture with Schostak Brothers aligns with a future for the property that is beneficial to the city while fostering innovation and job creation," Auburn Hills Mayor Kevin McDaniel said in the release. "We are enthusiastic about the redevelopment potential and what is expected to be an outcome that provides for future expansion of the City’s corporate business community.”