The Dodgers ownership group will control the channel, becoming the most recent sports franchise to own all or part of its own channel, ensuring ongoing TV profits in addition to the lucrative revenue from cable operators.
The channel is scheduled to begin airing Dodgers games at the start of the 2014 baseball season. The channel will be available in southern California and Hawaii.
Time Warner Cable will be the main distributor of the channel in a "long-term affiliation deal," and will control advertising sales and affiliate agreements, according to a statement.
The Dodgers and Time Warner Cable said the agreement is subject to certain closing conditions.
The Dodgers were acquired for $2.15 billion in March 2012 by a group headed by private investment firm Guggenheim Partners that included former basketball star Earvin "Magic" Johnson, Hollywood producer Peter Guber and Stan Kasten, a long-time baseball and basketball executive.