MELBOURNE has won the battle with Sydney and will host a one-off game at the MCG between Liverpool and Melbourne Victory in late July.

The two cities - and their state governments - had been vying to attract the Reds, who are due to arrive in Australia hard on the heels of Manchester United.

Premier League leader United will take on a Football Federation Australia All Star side in Sydney in a venture underwritten by the New South Wales government at a reported cost of $3 million.

The Victorian government did not pursue United but has now got a club that will be just as big an attraction without, it is believed, having to outlay anything like that amount. With Victory providing the opposition, it is not unreasonable to expect a crowd of 70,000-plus at the iconic venue, which usually hosts only Socceroos matches.

Sources close to the negotiations say it is a done deal. ''This will be a massive match, especially with Victory and not an All Star team playing against Liverpool,'' one insider said.