500 error on new install of new blog template on my subdomains?

Word Press Multi Site 3.4.2 with BuddyPress 1.6.1
Need to make exact copy of test site (except for site name etc)
Installed new blog template plugin.
Made new test template.
Sub-domains already set u p on Hosting Service.

Added site with template plugin for sub-domain inewsalbuquerque.inewsusa.com
Get the following: Internal Server Error
“The server encountered an internal error or misconfiguration and was unable to complete your request.
Please contact the server administrator, webmaster@inewsalbuquerque.inewsusa.com and inform them of the time the error occurred, and anything you might have done that may have caused the error.
More information about this error may be available in the server error log.
Additionally, a 500 Internal Server Error error was encountered while trying to use an ErrorDocument to handle the request.
Apache Server at inewsalbuquerque.inewsusa.com Port 80 “

All my sub domains are listed on my host server and each time I try to add a new blog site to any of my sub domains inesewsanycity.inewsusa.com, it gives me the 500 error
Hosting service says the sites are not loading fully..

Any Ideas?