A man dressed as Julius Caesar, left, stands next to a giant picture of a bust of Roman Emperor Vespasian outside the Colosseum in Rome on March 26, 2009. Italy is celebrating the 2,000th birthday of the former emperor. (Domenico Stinellis/Associated Press)

Archeologists working in a mountainous region north of Rome have unearthed a villa they believe to be the birthplace of Vespasian, who was emperor of Rome nearly 2,000 years ago.

Lead archaelogist Filippo Coarelli reported Friday on the discovery of a luxurious country villa, with reception rooms, colonnades, mosaic floors and traces of a hot bath.

The villa is close to the modern Italian town of Rieti and the ancient Roman village of Falacrinae, where Vespasian was born in 9 AD. Archaelogists have been working for four years on the site, about 130 km north of Rome.

"We've found a monumental villa with elaborate floors made of marble brought from quarries in Greece and North Africa," said Helen Patterson, of the British School at Rome, which is collaborating with Italian archeologists on the discovery.

Three marble busts of Roman Emperor Vespasian, who ruled 60 to 79 AD. (Domenico Stinellis/Associated Press)

"Until we find a stone or marble inscription saying 'Vespasian lived here,' we can't be 100 per cent certain, but it seems very likely. It's in a perfect position, overlooking a river and the old Via Salaria trade route," she was quoted as saying by Agence France Press.

The first-century villa forms a complex stretching over 14,000 square metres and is lavishly decorated. Also found was an ancient necropolis.

Vespasian, was born Titus Flavius Vespasianus into a wealthy equestrian family with members in the Roman Senate and became a successful military commander.

He was involved in the Roman invasion of Britain in 43 AD, served as governor of Egypt and helped quell the Jewish rebellion of Judea in 66 AD.

Shortly after he achieved that success, Nero committed suicide and two more emperors, Galba and Otho, were assassinated.

Vespasian was voted emperor by the Senate in 69 AD and ruled for 10 years, bringing in a period of relative peace. His rule is best known for the start of construction of the Colosseum, the building of the temple of peace and other projects in Rome.

Italy is celebrating the 2,000th anniversary of Vespasian's birth this year.