The Israeli government approved plans Sunday to construct a new defense complex at the site of UNRWA's former headquarters near Ammunition Hill in East Jerusalem, establishing an IDF museum, enlistment office, and defense minister's office where the UN agency for Palestinian refugees once operated. According to a joint statement from the Defense Ministry and the Jerusalem municipality, the complex will occupy roughly 36 dunams (9 acres) and strengthen the defense establishment's presence in Israel's capital.
Defense Minister Israel Katz characterized the decision as "a decision of sovereignty, Zionism and security," stating there is "nothing more symbolic or just" than establishing defense institutions "on the ruins of the UNRWA compound." Katz reiterated Israeli allegations that UNRWA became complicit in Hamas terror activity, declaring that "in a place where an organization operated that became part of the machinery of terror and incitement against Israel, institutions will now be established that strengthen Jerusalem, the IDF, and the State of Israel." He added the move sends "a clear message to all our enemies: we will continue to build, strengthen, and deepen our hold on Jerusalem, the eternal capital of Israel, from a position of strength."
From UN Agency to Defense Hub
Israel began demolishing UNRWA's East Jerusalem headquarters in January, following years of legislative measures against the UN agency. The demolition came after Israel ordered UNRWA to vacate all its premises and cease its operations, with the building unused since the start of last year. The Defense Ministry signed an agreement with the Jerusalem municipality in December 2025 to establish new defense headquarters in the capital and relocate the military's colleges to the city, among other moves.
A UNRWA spokesperson declined to comment on the Israeli plan. Israel has long sought to shutter the agency altogether, arguing it perpetuates the conflict by continuing to confer refugee status on Palestinian descendants rather than resettling them, unlike the practice with the rest of the world's refugees.
Evidence of Terror Ties
Israel ramped up its campaign against the agency after evidence showed that employees of the agency had participated in the October 7, 2023 onslaught, when Hamas-led terrorists invaded southern Israel, killing some 1,200 people and taking another 251 hostages. Israel has also alleged that more than 10 percent of UNRWA's staff in Gaza have ties to terrorist factions, and that educational facilities under the organization's auspices consistently incite hatred of Israel and glorify terror.
In February 2024, the IDF revealed the existence of a subterranean Hamas data center directly beneath UNRWA's Gaza Strip headquarters. The IDF has also repeatedly targeted Hamas command centers and gunmen hiding out in UNRWA schools. A number of freed hostages have also testified after returning to Israel that they were held in captivity in UNRWA schools and facilities.
However, some supporters have noted the key role the agency fills in providing relief to Palestinians in Gaza and the West Bank and keeping them from deeper poverty that could fuel violence and terrorism, saying no other body or group is equipped to handle that responsibility.
Why This Matters:
The establishment of Israeli defense facilities on the site of a UN agency's former headquarters represents a significant assertion of sovereignty in disputed territory and reflects Israel's determination to reshape institutional presence in its capital. The decision follows documented evidence of UNRWA employee participation in the October 7, 2023 attack and the discovery of Hamas infrastructure beneath UNRWA facilities, raising fundamental questions about international aid agencies' accountability and oversight mechanisms. From a security perspective, replacing an organization alleged to have terror ties with defense institutions signals Israel's prioritization of national security over international diplomatic considerations. The move also highlights the broader debate over whether perpetuating refugee status across generations serves humanitarian goals or entrenches conflict, a question with implications for how the international community addresses long-standing displacement situations worldwide.