Indeed, Anathapindika was an important lay disciple of the Buddha who was very wealthy and became a great benefactor of the Sangha. He bought the land from Prince Jeta and constructed a monastery there. You can read [his story here][1].

> After the meal,
> Anathapindika asked the Enlightened One if he might build a monastery
> for the Order in his hometown of Savatthi. The Buddha answered: "The
> Enlightened Ones love peaceful places." "I understand, O Master, I
> understand," answered Anathapindika, overjoyed with the acceptance of
> his offer. (SN 10.8 = Cv VI.4)
> 
> Once he arrived in Savatthi, he immediately searched for an
> appropriate location for the monastery. It had to be neither too close
> to the city, nor too far. The site should not be one that would be
> overrun by people in the daytime, nor should there be noise at night.
> It should be suitable for access by devoted visitors and also fit for
> those bent on seclusion. At last, in the chain of hills surrounding
> the city, he found a beautiful forest glade, ideal for the purpose.
> The area belonged to Prince Jeta, a son of King Pasenadi.
> 
> Anathapindika visited Prince Jeta in his palace and asked if the
> forest were for sale. The prince answered that the large tract of land
> was not for sale, not even for the appropriate price of eighteen
> million. "I will give you that much, right now," replied
> Anathapindika, but they were not able to come to terms and went to an
> arbitrator. The arbitrator ruled that the price should amount to as
> many gold pieces of the eighteen million as could be laid next to each
> other on the land. One this basis an agreement of sale was reached.
> 
> Anathapindika had many carts filled with gold coins, and had them
> spread out upon the site. Finally only one small patch of ground at
> the entrance remained bare. He gave the instructions that more gold be
> brought, but the Prince Jeta announced that he was prepared to build a
> mighty gate-tower on that spot at his own expense. This imposing
> bastion and gate protected the monastery from the outside world,
> shielded it from the noises of the road, and emphasized the dividing
> line between the realms of the sacred and the worldly. Anathapindika
> then spent another eighteen million for buildings and furnishings. He
> built individual cells, a meeting hall, a dining hall, storerooms,
> walkways, latrines, wells, and lotus ponds for bathing as well as a
> large surrounding wall. Thus the forest glade was transformed into a
> monastery and stood apart as a religious sanctuary. (Cv VI.4)
> 
> When everything had been completed, the Enlightened One, with his
> monks, came to Savatthi to take up the residence at the new monastery.
> On their arrival, Anathapindika invited them for an alms meal. After
> the meal he addressed the Buddha and asked: "How should I proceed with
> the offering of this Jetavana (Jeta's Grove)?" — "You may dedicate it to the Sangha
> of the four quarters, present and future." And so Anathapindika did.
> 
> The alms-meal for the monks was followed by a sumptuous celebration
> for the laity with gifts for everyone. This cost another eighteen
> million, so altogether Anathapindika spent fifty-four million on the
> headquarters for the Order. Therefore, he stands at the head of the
> benefactors. (AN 1.19)

  

[1]: http://www.accesstoinsight.org/lib/authors/hecker/wheel334.html