No. Jerusalem was not the Holy place. Consistent with the rest of the Bible the Holy place was in the temple. Gentiles WERE allowed in Jerusalem. Gentiles were NOT allowed in the temple because it contained the Holy place. The event which occurred in 167 BC is intended to inform our understanding of its recurrence which was not fulfilled in AD 70.
What an extraordinarily scripturally ignorant, and false, statement. Here, to set you on your way, are 21 Biblical quotations showing that the City of Jerusalem was considered holy.
Psalm 3:4
I cried unto the Lord with my voice, and he heard me out of his holy hill. Selah.
Psalm 15:1
Lord, who shall abide in thy tabernacle? who shall dwell in thy holy hill?
Psalm 43:3
O send out thy light and thy truth: let them lead me; let them bring me unto thy holy hill, and to thy tabernacles.
Psalm 99:9
Exalt the Lord our God, and worship at his holy hill; for the Lord our God is holy.
Psalm 2:6
Yet have I set my king upon my holy hill of Zion.
Isaiah 52:1
Awake, awake; put on thy strength, O Zion; put on thy beautiful garments, O Jerusalem, the holy city: for henceforth there shall no more come into thee the uncircumcised and the unclean.
Isaiah 64:10
Thy holy cities are a wilderness, Zion is a wilderness, Jerusalem a desolation.
Joel 2:1
Blow ye the trumpet in Zion, and sound an alarm in my holy mountain: let all the inhabitants of the land tremble: for the day of the Lord cometh, for it is nigh at hand;
Joel 3:17
So shall ye know that I am the Lord your God dwelling in Zion, my holy mountain: then shall Jerusalem be holy, and there shall no strangers pass through her any more
Nehemiah 11:1
And the rulers of the people dwelt at Jerusalem: the rest of the people also cast lots, to bring one of ten to dwell in Jerusalem the holy city, and nine parts to dwell in other cities
Isaiah 27:13
And it shall come to pass in that day, that the great trumpet shall be blown, and they shall come which were ready to perish in the land of Assyria, and the outcasts in the land of Egypt, and shall worship the Lord in the holy mount at Jerusalem.
Isaiah 66:20
And they shall bring all your brethren for an offering unto the Lord out of all nations upon horses, and in chariots, and in litters, and upon mules, and upon swift beasts, to my holy mountain Jerusalem, saith the Lord, as the children of Israel bring an offering in a clean vessel into the house of the Lord.
Daniel 9:16
O Lord, according to all thy righteousness, I beseech thee, let thine anger and thy fury be turned away from thy city Jerusalem, thy holy mountain: because for our sins, and for the iniquities of our fathers, Jerusalem and thy people are become a reproach to all that are about us.
Zechariah 8:3
Thus saith the Lord; I am returned unto Zion, and will dwell in the midst of Jerusalem: and Jerusalem shall be called a city of truth; and the mountain of the Lord of hosts the holy mountain
Nehemiah 11:18
All the Levites in the holy city were two hundred fourscore and four.
Psalm 46:4
There is a river, the streams whereof shall make glad the city of God, the holy place of the tabernacles of the most High.
Isaiah 48:2
For they call themselves of the holy city, and stay themselves upon the God of Israel; The Lord of hosts is his name.
Daniel 9:24
Seventy weeks are determined upon thy people and upon thy holy city, to finish the transgression, and to make an end of sins, and to make reconciliation for iniquity, and to bring in everlasting righteousness, and to seal up the vision and prophecy, and to anoint the most Holy.
Matthew 4:5
Then the devil taketh him up into the holy city, and setteth him on a pinnacle of the temple,
Matthew 27:53
And came out of the graves after his resurrection, and went into the holy city, and appeared unto many.
Revelation 11:2
But the court which is without the temple leave out, and measure it not; for it is given unto the Gentiles: and the holy city shall they tread under foot forty and two months.