Crystal Palace defender Osagyefo Burton-Godwin was poised to sign for Colchester United on Friday.
U's boss Mick Wadsworth revealed the giant Birmingham born, 21-year-old centre back, more commonly known as Sagi Burton, was set to sign a two-year deal with the second division club.
He comes to Layer Road as a free agent, but cash-strapped first division outfit Palace will benefit financially in the future if certain clauses in the player's contract come to fruition.
"We are very lucky to get Sagi," said a delighted Wadsworth.
"He has agreed to sign for us as a result of a lot of hard work and endeavour on our part.
"Sagi is an outstanding young player. He has the ability and potential to play for a club a lot higher up the Football League ladder than us.
"And the fact that Crystal Palace have no money to throw around is one of the main reasons why we have been able to tempt him to come to us.
"There was speculation earlier last season of a possible transfer for the lad to Southampton in a prospective deal said to be worth £500,000. It didn't happen.
"But, very strong in the air, he will be worth a lot of money in the future."
The highly rated Selhurst Park trainee has only enjoyed a handful of first team appearances for Palace since making his debut against Derby County in the Premiership during December 1997 in only his second year as a professional.
Burton will be the second player to join the U's during the past ten days following the arrival of experienced striker Jamie Moralee from Brighton who has signed an initial one-year deal.
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