Teams surveyed more than 50 sites before settling on the area of Vauxhall, south of the river Thames, for the new location, according to the statement.
He tweeted late on Thursday that he was not a big fan of the Obama administration that sold "perhaps the best located and finest embassy in London for "peanuts", only to build a new one in an "off" location for $1.2 billion, Xinhua news agency reported. "Bad deal. Wanted me to cut ribbon-NO!" tweeted.
The embassy move is, in fact, the result of a decade-long project initiated by the administration of former Republican president George W. Bush. The new building was the most advanced United States embassy in the world and "did not cost the U.S. taxpayer a cent", he said, being financed by the sale of the old site and other London properties.
As an American living in London, however, I was embarrassed: not, for once, because of the behaviour of my president, but for my British hosts.
Yet on Friday the U.S. embassy in London joined British officials in rebutting his claims.
Khan said Trump's visit would "without doubt have been met with mass peaceful protests" and that it was a mistake for Prime Minister Theresa May to invite him on a state visit.
On the face of it, Trump called off his "working" visit to the United Kingdom because of his displeasure at the Obama administration's decision to sell off the previous, "finest", embassy in Grosvenor Square to the Qataris for "peanuts" (never mind the fact that this decision was made in the final months of George W Bush's time in office, not Barack Obama's).
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Europe trail at EurAsia Cup
Cabrera-Bello's immaculate putting saw the pair lead by one at the 18th tee but they failed to match Asia's birdie and had to settle for a half point.
Jose Mourinho calls for end to Antonio Conte feud
Writing in his column in the Herald, former Manchester United player Giles said the Italian's description of Mourinho was apt. Conte then branded the Portuguese " a little man " before menacingly claiming that he wouldn't forget Mourinho's comments.
But Trump's late-night tweet singled out problems with the handling of the embassy.
When the PM visited the White House, she was pictured holding hands with the president.
Relations between the USA and its closest ally have been tested repeatedly since Trump took office nearly a year ago.
Matters got even worse when Trump re-tweeted video posts of a British ultra-rightist group targeting Muslim immigrants in November.
The exchange prompted further calls to dump the visit. He said his countrymen love and admire America and Americans but find Trump's policies polar opposite to the city's values, Khan said in a statement released on Twitter on Friday.
He took to Twitter to say his first trip to Britain since being elected previous year was off amid claims he feared mass street protests and blamed his predecessor Barack Obama for selling off the former embassy in Grosvenor Square "for peanuts". "But maybe Sadiq Khan, Jeremy Corbyn and the Labour Party planning mass protests, maybe those optics he didn't like the look of". "We will not allow US-UK relations to be endangered by some puffed up pompous popinjay in City Hall".