Hyatt Regency owned the two buildings in Jerusalem, and sold them for $20 million, both will be converted into hotels. They were sold to the real estate tycoons Reichman Brothers from Canada who are entering the Israeli market.

Palace building is marked for preservation as one of the city's unique public buildings. 4 floors, with permission to add on 4 additional floors as well as the dutyhouse which was used for customs but is vacant and may also double in size - width and height.

The plans are for a 210 room hotel and private apartments.