Speaking of "eminent domain", one of my old chess partners had taken a legal position with the City of Dallas. His first case was against "the church"! It was the Catholic church and my boss was representing the Knights of Columbus (and the church).
Somehow I mentioned the lawyers name at a staff meeting, one of our girls used to date him, and my boss was "fighting" him! What's worse is that he's a pretty good guy and his very first case was against "the church"!
Anyway, back to the topic. I believe all of the land is Israel's. They were cast out though in judgment, but the promise was to Abraham and his seed. If you've ever seen a map of how much land that really is, it is shocking! It's way more than anything they're bickering over now.
I think (personally) Israel made a mistake to give back part of Jerusalem when everybody tried to kick their buts in the last war. Even though they won decisively, for some reason they gave them a "quarter". As a result, you hear the Islamists blaring their prayers in sight of the temple mount, which they really don't even control.
If you watch Hal Lindsey's "The Big Lie" on Youtube (15 minutes), he explains how the palestinians were given land to live on and the guys who took Jordan (when all of these kingdoms were first made) kept the money and acted like the Palenstinians didn't belong. They kept them in "limbo" ever since.
If you had neighbors raining rockets down on you, you'd keep them as far away as you could. I can assure you, if Canada (bless them) started sending rockets across the border to America, we'd be over their fast!
America has no business telling Israel what to do in the Palestinian issue. I think it brings a curse to pressure them in the way they do. It displays ignorance and blindness in the Word of God. It has nothing to do with the current state of godliness the people of Israel exhibit. Many of them don't even believe in God any more!
It has everything to do with the promise God made to Abraham and the land was promised to them. The nation reformed was a promise. I hope one day in my lifetime, they take the temple mount back and control it all, build a temple and occupy it. (I should add, not because animal sacrifices are suddenly going to become "righteous" anymore, but as the Lord once said prophetically, "Israel is preparing for My return.".)