US and Israel sign $1 lease for permanent embassy in West Jerusalem

The United States and Israel have signed an agreement designating a parcel of land in West Jerusalem for the construction of a permanent U.S. embassy. The deal formalizes a step that follows the 2018 relocation of the American diplomatic mission from Tel Aviv to Jerusalem, and it provides a specific site for a purpose‑built facility to replace the temporary premises currently in use.

The allocated plot is situated in a residential area of West Jerusalem and will be developed in coordination with Israeli authorities to meet security and operational requirements. The agreement underscores the continuation of U.S. policy recognizing Jerusalem as the capital of Israel, a stance that has shaped bilateral relations for several years. Construction is expected to begin after the necessary planning and approvals are completed, moving the United States closer to establishing a permanent diplomatic presence in the city.