Construction cranes are seen at the Jewish neighborhood of Gilo in Jerusalem, Jan 16, (AP).
The UN's Middle East envoy on Tuesday condemned plans by Jerusalem city council to build over 900 new homes in Gilo, a settlement neighbourhood in the annexed eastern sector of the city.
"Israeli settlement activity anywhere in occupied territory, including in east Jerusalem, is illegal and contrary to the roadmap," said Richard Miron, spokesman for United Nations peace envoy Robert Serry, in reference to the peace roadmap adopted by the Middle East diplomatic Quartet.
"We call on the Israeli government to halt further planning for new settlement units, which undermines efforts to bring about resumed Israeli-Palestinian negotiations and prejudices final status discussions."
His remarks were made a day after the council approved plans for 942 new homes in Gilo on the outskirts of east Jerusalem.
Gilo lies in mostly Arab east Jerusalem, which Israel captured in the 1967 Six Day War and later annexed in a move not recognised by the international community.
Israel considers both sectors of the Holy City its "eternal, indivisible" capital, and does not view construction in the east to be settlement activity.
The Palestinians, however, want east Jerusalem as the capital of their future state and fiercely contest any actions to extend Israeli control over the sector.
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