Negotiations have begun with Israeli companies regarding the large-scale demolition of structures in the Gaza Strip, Walla reported on Wednesday, with sources describing them as unprecedented in scope.

“The peace government has a desire to advance the reconstruction process, but it is not meeting reasonable timelines or the scope they want," a security source said.

"We are talking about enormous amounts of destruction that they want to turn into recycled construction materials, to transport a large part of it, and at the same time to level the area in order to build new homes on it, and all this is happening even before Hamas has been disarmed and the Strip has been demilitarized,” the source continued.

Sources said the plan envisions vast quantities of rubble being converted into recycled construction materials, with significant portions transported elsewhere.

An Israeli tank patrols inside the Gaza Strip, as seen from the Israeli side of the border, June 21, 2026.
An Israeli tank patrols inside the Gaza Strip, as seen from the Israeli side of the border, June 21, 2026. (credit: Tsafrir Abayov/Flash90)

At the same time, areas of the Strip would be leveled in preparation for future housing development, even before Hamas is disarmed and Gaza is demilitarized.

Security official warns of broader consequences

A security official warned that the pace and scope of developments could carry broader consequences.

“At this rate, there will be no choice but to resume fighting in order to disarm it and cut off its underground infrastructure, where it is hiding, managing its preparations for war with Israel, operating a production line of weapons, and hiding weapons depots,” said the official.

The official added that if the current trajectory continues, there would be no alternative but to renew fighting in order to dismantle Hamas’s underground infrastructure, which the source described as a network used for concealment, weapons production, operational planning, and storage of arms.