William and Kate Find a London Home

06/06/2011 at 09:20 AM EDT

Prince William and Kate to Live in Princess Diana's Home
Kensington Palace; the Duchess and Duke of Cambridge (inset)
Gareth Cattermole/Getty; Inset: REX USA
A new home for the newlyweds: William and Catherine are set to move into an apartment inside Kensington Palace, which will provide them with a London base.

Up until now when in London, the Duke and Duchess of Cambridge have been using William's bachelor apartment at Clarence House, where he resides with Prince Harry, their father, Prince Charles, and their stepmother, Camilla, the Duchess of Cornwall.

Currently, the recently married couple are based near his airbase in north Wales.

The new home – suitable for entertaining friends – is likely to be temporary, however, given the confinement of space.





With only two bedrooms, it is not deemed large enough for the both of them as they start a family and accomplish "what they'll be expected to do" in terms of meetings and entertaining, says a royal source.

A spokesman for the couple confirms, "A number of options for longer term solutions are still being considered. The couple's main home will continue to be their house on Anglesey, and their [administrative] Household Office will continue to be based at St. James's Palace."

It is likely that they will move in late June, early July – around the time of the couple's tour of Canada and California. Before that, though, the quarters will require some work..

"It hasn't had any refurbishment for around 15 years, and it has been vacant for a little while," the royal source says.



William spent much of his childhood at the combined apartments eight and nine – home to his mother, Diana, Princess of Wales. (Those rooms are currently being used as offices.)

Insiders have told PEOPLE that the light, airy rooms and corridors made it a great place for children to grow up.

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