The Bermuda Monetary Authority paid $28 million for its new Victoria Street headquarters, its annual report released this week shows.

The acquisition, made last year, follows the BMA outgrowing the Burnaby Street premises that was its headquarters until earlier this year. The authority bought that building ten years ago from Gosling Brothers Ltd. at a cost of $2.95 million.

That BMA has not yet made public its plans for its former eight floor headquarters.

The decision to buy the new headquarters, which is a seven-storey office building and basement, followed the need to house the BMA?s growing staff under one roof.

The Authority won?t take up its new residence ? with the building to be renamed the Bermuda Monetary Authority building ? until 2008, taking into account in-effect tenant leases.

Until it can take up occupation on Victoria Street, the BMA has leased a number of office spaces in Hamilton to accommodate its staff. The BMA now employs more than 70 staff with 34 of those positions being held by executive officers and managers.

The Victoria Street building, which was developed in 2001 by Sir John Swan?s Aswan Limited, is currently named the Bermuda Commercial Bank building.

One of the Victoria Street building tenants, Allied World Assurance Company Ltd. (AWAC), is set to move into a new space now under construction on the Richmond Road property of American International?s Bermuda office. AIG is a signficant shareholder in AWAC.