Officials said following last night's Rangers game, overnight maintenance of Madison Square Garden included cleaning asbestos-related materials in the attic above the ceiling.
Some of the debris fell into the Arena.
The Knicks decided to postpone the Magic game "out of an abundance of caution."
"We will be working with the city and independent experts, ATC Associates and GCI Environmental Advisory, to evaluate and determine the most appropriate course of action. As the safety of our customers and employees are our top priority, we will not reopen the Garden until we are absolutely assured the Arena is safe," the Knicks said in a statement released on their website.
No makeup date has been announced. MSG said it would announce information about future events once they have been determined. The Knicks are scheduled to play at home against Washington on Friday. The arena will host Roger Waters: The Wall Live on Saturday, and the Knicks and Rangers will play a doubleheader Sunday.
Opened in February 1968 and known as "Garden IV," the Garden is in the early stages of a renovation that began last summer. It's expected to cost between $775 and $850 million, with extensive work slated for the summers of 2011 and 2012.
It's the second recent arena-related postponement for the Magic. The exhibition game against Miami that was scheduled for the St. Pete Times Forum in Tampa, Fla., was canceled because of slippery court conditions after arena officials said an oil-based cleaning solution was mistakenly applied.
Ticketholders are advised to retain their tickets, and check nyknicks.com for rescheduling information.
