pg_update to a new machine?

The 2.8TB database must be moved to a new server in a new Data Center, and 
upgraded from 8.4.17 to 9.6.6

Will this work?

pg_upgrade
         --old-datadir "CURSERVER://var/lib/pgsql/data"
         --new-datadir "NEWSERVER://var/lib/pgsql/data"
         --old-bindir "CURSERVER://usr/bin"
         --new-bindir "NEWSERVER://usr/bin"

Or must I:
1. temporarily allocate 3TB of scratch space on the new server,
2. install 8.4 on the new server,
3. install 9.6.6 on the new server,
2. rsync CURSERVER://var/lib/pgsql/data to 
NEWSERVER://var/lib/pgsql/8.4/data, and then
3. pg_upgrade?

Are there better ways?  (The pipe from current DC to new DC will be 10Gbps.)

Thanks

-- 
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