Emma Roberts and Garrett Hedlund were pictured together for the first time since news of their relationship broke

Emma Roberts and Garrett Hedlund are making things more official.

The actors were spotted holding hands in New York City on Sunday just a week after reports first swirled about their relationship. The pair were all smiles as they made their way into a hotel during the rainy day in the city.

A source confirmed to PEOPLE two weeks ago that Roberts and frequent costar Evan Peters had called off their engagement for the second time after seven years together. The confirmation came after rumors swirled that Roberts, 28, was seen kissing Hedlund, 34, on a dinner date in Los Angeles.

Emma Roberts, Garrett Hedlund
Garrett Hedlund and Emma Roberts
| Credit: TheImageDirect

Roberts and Peters, 32, met while filming the 2013 indie Adult World. They began dating in the summer of 2012, and PEOPLE confirmed their engagement in January 2014, after Peters popped the question over the holidays.

They previously called off their engagement in 2015 but soon rekindled their romance.

The actors hit a rough patch in July 2013, when Roberts was arrested in connection with domestic violence in Montreal, Canada.

“It was an unfortunate incident and misunderstanding,” Roberts’ rep reps said in a statement. “Ms. Roberts was released after questioning and the couple is working together to move past it.”

Hedlund is currently starring in Netflix’s Triple Frontier opposite Ben Affleck and Oscar Isaac. He was famously in a relationship with Kirsten Dunst for four years before they split in 2016.