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"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."
moreAnother crisis brewing? Sheikh Jarah construction OK'dhttp://www.ynetnews.com/articles/0,7340,L-3867236,00.htmlControversial east Jerusalem construction plan approved ahead of Netanyahu-Obama meeting at White House; Plan to build at Shepherd Hotel compound met with American resistance several months ago<
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"Is another crisis brewing over east Jerusalem construction? A controversial construction plan at the Shepherd Hotel compound in east Jerusalem's Sheikh Jarah neighborhood has received the final approval, Ynet has learned.
Following the current crisis vis-à-vis the United States over the announcement of east Jerusalem construction plans during Vice President's Joe Biden's visit, the Prime Minister's Office has been making an effort to monitor any sensitive move in the capital.
However, an official announcement posted on the Jerusalem city hall website regarding the Sheikh Jarah approval may provoke a whole new crisis.
The owner of the land in the hotel compound is Florida Jew Irwin Moskowitz. The principled approval for the construction plan, which includes the establishment of 20 housing units and a parking lot, was granted by the Jerusalem zoning committee in July of last year, angering American officials."
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"At the time, Israel's Ambassador in Washington Michael Oren was summoned for a meeting and reprimanded, with officials making it clear to him that the Obama Administration demands an immediate halt to construction preparations at the site.
However, the construction plan received official approval this past Thursday, allowing the building process at the site to go ahead at any time now."