David Hasselhoff has splashed out $1.95 million on a new mansion.

The former 'Baywatch' actor purchased the 5,767 square-foot Mediterranean home in Calabasas, California - where a host of stars including Paris Hilton, Justin Bieber and Britney Spears also reside - last week, sources have told TMZ.

David's new abode comes complete with five bedrooms and six bathrooms and is situated in a small gated community decorated with several palm trees.

What's more, the 60-year-old star - who has been spotted watching the Los Angeles Lakers basketball team with his girlfriend Hayley Roberts on several occasions - might like to get some practice in at shooting hoops on the home's own basketball court.

David's latest purchase comes after he sold another Californian mansion in Encino, San Fernando Valley, for $3.5 million earlier this month.

But the 1.5-acre house - which he had owned since 1996 - took six months to sell and the actor had to settle for $300,000 less than his original $3.8 million asking price.

The home featured five bedrooms, a swimming pool, a tennis court and even an indoor pub - which was reportedly covered in posters of him - and it was just 30 miles away from Malibu, where he filmed 1990s lifeguard series 'Baywatch'.