With the demolition of its outdated University Village complete, USC was expected to formally break ground Monday on the $650 million first phase of its $1.1 billion two-phase master-planned Village at USC.

The single largest development in the university’s history, the first phase of the project will expand the USC campus to the north by 15 acres and add nearly 1.3 million square feet of residential, retail and restaurant space in six buildings. That space will include 2,700 beds for student housing, a 30,000-square-foot fitness center and 115,000 square feet of retail space. Phase Two could bring 2,500 more beds, a half-million square feet of classrooms and 235,000 square feet of retail space.

USC President C.L. Max Nikias said the first half of the massive project is expected to be completed before the start of the fall semester in 2017.

“We went through a very long process with the city to get approvals for this project – in fact the first three years of my presidency – so we are very anxious to get things done,” he said. “It’s a tight schedule, but we don’t want to miss the academic year cycle.”