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Peer-to-peer streaming technology using mesh-based overlay has emerged as a promising scalable solution for live video streaming. However, the mechanism of nodes randomly selecting neighbors without considering peer location and bandwidth can cause a serious video diffusion delay which is undesirable. In this paper, we propose a Location and Bandwidth Awareness (LBA) overlay scheme aiming to achieve low delay. We make use of the concept of Location and Bandwidth (LB) balance which regulates the ratio of nearby neighbors and high bandwidth neighbors and give LB balance model. Each peer must obey LB balance so that the peers are organized into a hierarchy. In order to construct LBA overlay, we present a centralized algorithm which peers select their proper neighbors based on the LB balance. Simulation shows that our LBA overlay can achieve desirable performance, and substantially outperforms traditional and state-of-the-art approaches.