Then-president George W Bush cited security as the main reason for the sale, while USA officials said it would have taken several years and hundreds of millions of dollars to bring the Grade II-listed London Chancery Building up to scratch.
USA president Donald Trump has blamed a "bad" property deal as the reason he ditched his visit to London next month - but identified the wrong culprit.
The State Department, however, announced plans for relocating the London embassy in 2008, while George W. Bush was still president, because of concerns about security following the September 11 terror attacks.
PA Wire PA Images The Madame Tussauds wax figure of Donald Trump outside the new US Embassy in Nine Elms London
The ceremony may instead be hosted by US Secretary of State Rex Tillerson.
However, Mr Trump blamed former president Mr Obama's administration for selling "perhaps the best located and finest embassy in London for peanuts". However, Yahoo News reported on Thursday that the private reason for the cancellation is due to Trump being well aware that he would face massive backlash and protests [VIDEO]against him.
Donald Trump has cancelled his visit to the United Kingdom, amid fears that he would be met with huge protests.
Trump has also been offered a full-blown state visit to Britain but no date has been set, amid jitters over protests.
Netanyahu set to lead trade task force to India
In addition, Netanyahu will give an inaugural speech at the Raisina Dialogue and will preside the Indo-Israeli CEO forum in Delhi. Israel already is a major weapons supplier to India, selling it an average of $1 billion of military equipment each year.
The new location opens this month, and plans were in place for Trump to visit.
Trump's decision "is proof that protest can prevail and that the most powerful world players can be faced down", tweeted the organisation.
The US Government has attempted to purchase the building before, but the previous Duke reportedly said he would only sell it if the (considerable) land confiscated from his family during the War of Independence was returned.
Mr Trump clashed with Mayor of London Sadiq Khan in the aftermath of the London Bridge attack a year ago, when he questioned Mr Khan's statement that there was "no reason to be alarmed". And U.S. officials have pointed out that the new embassy is just as close to the U.K. Parliament and other government buildings as the old site.
Female lawmakers plan to wear black to Trump's State of the Union
She attended the Golden Globe Awards as a guest of Michelle Williams; it is unclear if she will attend the State of the Union . Gloria Allred, a lawyer representing several of the women, said neither she nor her clients had been contacted.
Trump had responded by tweeting directly to the British PM that she should focus on tackling domestic terrorism.
The president's no-show "raises questions about the stability of the so-called special relationship: in his first year, Trump has managed to visit Belgium, China, France, Germany, Israel, Italy (twice), Japan, Philippines, Poland, Saudi Arabia, South Korea, Vatican City, Vietnam and the West Bank", says The Times's Matt Chorley.
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