Beilein had coached at Michigan since 2007.
Beilein, 66, has coached at Michigan since 2007. He led the Wolverines to two national championship appearances in 2013 and 2018.
In 12 seasons in Ann Arbor, Beilein posted a 278–150 record, winning two Big Ten regular season titles and two conference tournament championships.
"Thanks to everyone at the Univ of Michigan for their incredible support these last 12 years (sic)," Beilein wrote on Twitter. "Our fans , alums , leads, players and students are AMAZING (sic)."
Per Wojnarowski, talks between Beilein and the Cavaliers "escalated" over the past weekend, and Beilein informed Michigan's administration of his decision Monday. The gig will mark Beilein's first-ever NBA coaching job.
Last season, Cleveland finished 19–63 in the franchise's first campaign since seeing star forward LeBron James depart for the Los Angeles Lakers during free agency.
The Cavaliers fired coach Tyronn Lue following an 0–6 start last season and elevated Larry Drew into an interim role.