UFC officials had previously announced the title fight's date, but multiple host cities had been in consideration including Las Vegas, Toronto and Stockholm, Sweden.
UFC president Dana White and CEO Lorenzo Fertitta made the official announcement of the location on "UFC Tonight."
Jones (20-1) will seek his eighth consecutive title defense. The 26-year-old already holds the record for most consecutive defenses at 205 pounds and is three away from tying former middleweight champion Anderson Silva for most all-time.
Gustafsson (16-2) is 8-2 overall in the UFC, with six finishes. The Swedish fighter is coming off a second-round TKO against Jimi Manuwa in March.
The fight is a rematch of a 2013 fight of the year candidate. Jones defeated Gustafsson via unanimous decision at UFC 165 last September in what was his toughest title defense to date.