Officials of the Barclays Center announced the tournament will be held Nov. 9 in the new arena in Brooklyn.
Kentucky coach John Calipari, Maryland athletic director Kevin Anderson, Barclays Center developer Bruce Ratner and Barclays Center CEO Brett Yormark were on hand for the announcement.
No. 2 Kentucky defeated Kansas (No. 11 ESPN/USA Today, No. 12 AP) Tuesday night 75-65 at Madison Square Garden.
"We've played in the Garden and now we're going to be playing in Brooklyn," Calipari said. "We appreciate the opportunity. We will bring 10,000, 12,000 fans, maybe more. They'll overrun the building."
Albert King, who was raised in Brooklyn and played for Maryland and the New Jersey Nets, also attended the news conference.
"To bring back two storied programs to open up our college sports franchise, I think is terrific," Yormark said.
The Brooklyn Nets are expected to begin play at Barclays Center in the 2012-2013 season.