 Bullitt did not ask for a longer lease, because he had a plan to build a new residence, similar to Thomas Jefferson's Monticello, in the Sparrow Hills, but the Soviet government never granted the land for the new house, so Spaso House became the permanent Ambassador's residence.Early in 1934, the Ambassador and the first American diplomatic staff moved into Spaso House, which, due to structural problems with the Mohovaya street building, at first served as both the residence and Embassy chancery.The U.S. government constructed a new ballroom for Spaso House in 1935 to provide more space for entertaining large groups.