US embassy cable - 05TELAVIV2439

C O N F I D E N T I A L TEL AVIV 002439 
 
SIPDIS 
 
E.O. 12958: DECL: 04/19/2015 
TAGS: PREL, KWBG, IS, SETTLEMENTS 
SUBJECT: GOI ISSUES TENDERS FOR 50 HOUSING UNITS IN ELKANA, 
ANOTHER 600-700 IN THE WORKS 
 
Classified By: Charge d'Affaires Gene A. Cretz for reasons 1.4 (b) and 
(d) 
 
This cable has been cleared by Consulate General Jerusalem. 
 
1.  (C) Summary:  Press reported on April 18 that the Israel 
Lands Authority issued a tender for 50 plots to build 
private, single-family houses in the Elkana settlement of the 
West Bank.  According to the tender, these plots will be 
available for sale between May 6 and June 16.  Press reports 
indicate that the infrastructure work is finished and that 
construction can begin in two to three months.  Peace Now 
told econoff that this new neighborhood contributes to 
creating contiguity in the Ariel bloc.  The Economic 
Cooperation Foundation cautioned that the USG should expect 
at least an additional 2,000 housing units over the next 
year.  End summary. 
 
2.  (U) Press reported yesterday, April 18, that the Israel 
Lands Authority issued a tender for 50 plots to construct 
single-family houses in a northern neighborhood of the Elkana 
settlement in the West Bank.  According to the tender, which 
was published in Yediot Aharonot, the plots of land will 
range from 344 to 530 square meters, can be leased for 98 
years, with an option to extend for an additional 98 years, 
and will cost a minimum of $11,000.  According to the tender, 
the contractor who will develop the plots is Margolim and 
Ariel Engineering and Management, Ltd, and the houses will be 
privately financed by the residents.  The tender states that 
the "expenditure for development" will be approximately 
$55,000 to $70,000, depending on the size of the plot (Note: 
Post assumes "expenditure for development" means the cost of 
building a house on a plot.  End note).  The plots will be 
available for sale between May 9 and June 16.  Press reports 
indicate that the infrastructure work has been completed and 
construction could begin in two to three months. 
 
3.  (U) Additional press reports today, April 19, quote the 
mayor of Elkana, Yehuda Cohen, as saying that another 600-700 
housing units have or are in the final stages of receiving 
the necessary permits for construction. 
 
4.  (C) Dror Etkes, Settlements Watch Coordinator of Peace 
Now, told econoff that this expansion of Elkana is intended 
to help create contiguity in the Ariel bloc, and that the USG 
"should expect more" of these announcements in the future. 
He said that there is continuous building along Route 5 just 
south of Elkana, and opined that the GOI is planning to fill 
in the land between the seamline barrier and the Green Line. 
Boaz Karni, Treasurer of the Economic Cooperation Foundation, 
also commented that this announcement was not surprising, and 
said that we can expect tenders for at least an additional 
2,000 housing units throughout the West Bank over the next 
year.  He explained that this construction is a way to make 
the separation barrier a permanent fixture.  Karni cautioned 
that the U.S. should also watch the phenomenon of building 
permanent housing in illegal outposts.  He cited the example 
of an outpost near Neve Daniel -- probably Neve Daniel North 
-- in the Gush Etzion bloc, that has established 30-40 
permanent houses in the past six months.  Finally, BG (res) 
Baruch Spiegel, Ministry of Defense Advisor, told Charge that 
he would brief more fully on the announcement during their 
scheduled April 20 meeting, but that there was really nothing 
"new" on the issue except the press play. 
 
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