US signs $1 lease with Israel to build permanent embassy in West Jerusalem

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Israeli Foreign Minister Gideon Sa'ar (right) and U.S. Ambassador Mike Huckabee hold up a symbolic one‑dollar bill, the price of leasing the land for the new embassy, during the ceremony in Jerusalem, Wednesday, July 1, 2026. (AP Photo/Ohad Zwigenberg)

US signs $1 lease with Israel to build permanent embassy in West Jerusalem

The US and Israel have signed a deal allocating land for a permanent US embassy in West Jerusalem, years after a temporary one was established during Trump’s first term in office. The move is yet another blow to the hopes of a future Palestinian capital.

Published On 1 Jul 2026

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