The Jerusalem municipality has given final approval to a group of settlers construct 20 apartments in a controversial hotel in east Jerusalem, Haaretz learned on Tuesday.
The announcement comes as Prime Minister Benjamin Netanyahu was in Washington smoothing over ties with the United States over the latest settlement-related tensions, and hours before the premier was to meet with President Barack Obama in Washington.
The Shepherd Hotel in the Sheikh Jarrah neighborhood was purchased by American Jewish tycoon Irving Moskowitz in 1985 for $1 million. Moskowitz, an influential supporter of Ateret Cohanim and heightened Israeli settlement in East Jerusalem, plans to tear down the hotel and build housing units for Jewish Israelis in its place.
New east Jerusalem homes approved hours before Netanyahu-Obama meet
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