San Francisco, California (CNN) -- The 34th America's Cup, scheduled to take place in 2013, will be held in San Francisco, race organizers announced Friday.
San Francisco defeated Newport, Rhode Island; Italy and Spain for the right to stage the world's premier sailing event.
The organizing committee was heavily courted for months with lucrative financial and development packages in a process like the one which takes place for the Olympics.
City officials are hopeful the event will be a financial boon to cash-strapped San Francisco.
A study commissioned by the Bay Area Council Economic Institute and Beacon Economics projected an injection of $1.4 billion dollars and some 8,800 jobs to the area's economy.
The state Senate even deemed the event of such fiscal importance that it passed a resolution in August encouraging the organizers of the event to make San Francisco the host venue.
Oracle's Larry Ellison, the founder of BMW Oracle Racing, will now sail the 34th America's Cup in his home waters, after winning the 33rd America's Cup in Valencia, Spain, in February 2010.
Mayor Gavin Newsom said the city and the Oracle team have "a tremendous opportunity to showcase sailing in the magnificent amphitheater of San Francisco Bay, provide jobs and a more than $1 billion boost to our city's economy and transform the America's Cup experience."