the new US Consul General.

Consul General Larry Owen, a political appointee who steps down next month, has been living in a rented mansion in Mangrove View, Paget.

The Americans rented the home in 1999 as a temporary measure after the sale of the 12,000 square feet Chelston estate for around $15 million.

US Consul deputy Principal Officer Douglas Dobson told The Royal Gazette yesterday that an agreement had been signed to buy a new home for the Consul General in Hamilton Parish.

"We are in the process of purchasing a new residence for the Consul General,'' he said.

"The new location will be in Hamilton Parish but I would prefer not to be more specific until the deal is closed. We hope to move in in late Spring.

"Its an estate that's a bit larger than where we are now. It will be a good place to live and have representational entertaining. It's a pretty nice place.

"We have a signed contract but we haven't exchanged ownership. It's a lot less than we sold Chelston for.'' The Washington Post newspaper's In the Loop column reported yesterday that the house was bought for $3.3 million, and had "fine views, a pool and two acres''.

Mr. Dobson dismissed a report in the same newspaper that the new Bush administration is likely to scrap the Consul General's post in Bermuda to save money.

Mr. Dobson said last night: "There is no substance to that. There is no plan afoot at the State Department to change the nature or the level of our representation. It's going to be the status quo.'' Meanwhile, there is no word from the Bush transitional office on who will replace Mr. Owen.

President George W Bush is concentrating on filling the major diplomatic jobs before turning his attention to smaller postings like Bermuda.

Mr. Owen was quoted last week as saying he would be amazed if his successor was in place in six months.