Liv Tyler wants to raise her baby in New York.

The 37-year-old actress - who has nine-year-old son Milo with ex-husband ROYSTON LANGDON - and her British boyfriend Dave Gardner are expecting a child together and the sports agent is willing to relocate to America because the 'Lord of the Rings' star is keen to stay in the States while their child is young.

A source said: ''Liv's life is established in New York and she and Dave have talked about the benefits of basing themselves there for when the baby is born.

''Dave spends a lot of time there already but he knows Liv would like to be there for the early years of their baby's life. It's still at the discussion stage for now.''

Liv's friends are said to be delighted with her relationship with Dave - who has custody of Grey, his seven-year-old son with ex-wife Davinia Taylor - and the pair are very happy to be having a baby together.

The source told Britain's Grazia magazine: ''They've actually known each other longer than anyone things. They're both thrilled about the baby.

''Dave is a really nice bloke. He's done a wonderful job bringing up his son Grey. He's very loyal and understated and is one of those people who effortlessly links loads of friendships.''