A Trump administration official confirmed reports that it is working on a plan to build housing for thousands of "screened" Palestinians behind the so-called yellow line in Gaza, which is occupied by Israeli troops, according to a report by The New York Times published on Wednesday.

The plan to build these housing compounds, dubbed “Alternative Safe Communities”, is being led by a team of US officials and former Department of Government Efficiency workers, or Doge, who are based in the luxury beachfront Kempinski and Hilton hotels in Tel Aviv, The New York Times reported.

The article cited dozens of US officials and people familiar with the plan, but obtained a public confirmation from Aryeh Lightstone, who the New York Times identified as a senior Trump administration official leading the effort.

Lightstone, an American rabbi, served as senior advisor to former US ambassador to Israel, David Friedman, during the first Trump administration. He has been identified as an advisor to President Donald Trump’s envoy, Steve Witkoff.

According to The New York Times, he is now reporting to Jared Kushner, Trump's son-in-law and advisor, and in contact with Secretary of State Marco Rubio and Vice President JD Vance.