Stephen Colbert, David Letterman

The Late Show will continue broadcasting from the Ed Sullivan Theater in New York once Stephen Colbert takes the reins in 2015, CBS announced this week.

VIDEO: Stephen Colbert "thrilled and honored" to be replacing David Letterman

CBS President Les Moonves and New York Governor Andrew Cuomo reached an agreement to keep the show in New York, which it has called home since 1993.The Late Show's daily production schedule will generate about 200 jobs in New York. "New York has long been an international entertainment leader, and with this commitment from CBS we are beginning the next chapter in that proud history," Cuomo said in a statement.

Added Moonves: "We're excited to be here in late night for many years to come."

David Letterman, who has hosted The Late Show for 21 years, announced earlier this year that he plans to retire in 2015.

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