I got a email saying Welcome to Liberity City Where The American Dream Goes To Die. So more than likley its going to be set there again. I was sorta hoping they would set it somewhere else.

it's set in new york isn't it

It is set in Liberty City, which is the GTA equivalent of New York, but this time it is more lifelike. We have known this for the best part of a year

yeah, its more lifelike and meant to resemble new york alot more. There is a ton of parody landmarks essentially that if your familiar with new york, you would recognize. In fact, there was an article that some new york city official were none to pleased with the idea of GTA using new york as the model for a "city of crime"

im form new york and i seen the gta 4 pics and trust me this REALLY looks like new york so far they have alot they've just put it into fake names