Madonna is all set to gift her lover boy Jesus Luz a 1.7-million-pound pad in New York, it has emerged.

Although the pop diva has no room for Luz at her 25-million-pound mansion in the Upper East Side, she wants her flame to live within walking distance from her.

The new home will be registered in Luz's name.

The Sun quoted a source as saying: "Em is buying Jesus an apartment in New York. She has her real estate agent searching for the perfect pad for him in the new neighbourhood where she has just moved.

"She's told them to spend no more than 1.7million pounds and the pad has to be within walking distance of her townhouse. She is financing everything but Jesus will own it once it's found and bought.

"She really wasn't kidding when she told him he'll never have to worry about money from now on."