Recent tenders for building in areas of Jerusalem liberated during the Six Day War were coordinated with the United States, top officials in Prime Minister Binyamin Netanayu's office said. The coordination enveloped all aspects of the tenders – from the number of apartments to be built to the timing of the tender. The American condemnation of the tender announcement was "hurried and very soft," indicating American approval for the tenders, the sources said.

Recent tenders approved by the Prime Minister's office included 692 apartments in Pisgat Zeev, Neve Yaakov, and Har Homa several months ago. The announcement for the tender was made under pressure from Housing Minister Ariel Attias, who threatened Netanyahu that he would complain publicly about a building freeze in Jerusalem. In response, Netanyahu worked out an arrangement with the Americans, with Washington approving tenders for 700 housing units. The proof, said the sources, is the fact that Netanyahu's office opposed a second tender announcement several weeks later, for another 300 homes – because that was not part of his deal with Washington.