Jerusalem’s city hall advanced rezoning and development plans on Monday for a hotly contested area of East Jerusalem, another example of an awkwardly timed, seemingly bureaucratic Israeli maneuver that could upset fragile peace efforts.

The preliminary approval for the plans — including the demolition of more than 20 Palestinian homes to create an archaeological park, along with a new residential and commercial tourist center — came a day after Israel won unusual praise from Washington for easing the blockade of Hamas-run Gaza, and amid other signs of progress. A mayoral spokesman said the planning decisions were independent of other considerations.

Similarly, in March, as Vice President Joseph R. Biden Jr. was on a visit here meant to underscore American support for Israel, the Interior Ministry announced 1,600 new housing units for Jews in East Jerusalem. The Obama administration was infuriated. Mr. Netanyahu said he had been surprised by the move; the interior minister, Eli Yishai, leader of the right-wing Shas Party, insisted that the timing of the announcement was accidental.

The new development plans are being pressed by Jerusalem’s mayor, Nir Barkat, a conservative-leaning entrepreneur. They focus on Silwan, a volatile neighborhood highly valued by both Israel and the Palestinians for its history and location just outside the Old City wall. Predominantly Palestinian, it includes an ancient site believed by many to contain the ruins of the City of David and is close to Al Aksa Mosque, which is revered by Muslims.

Israel captured East Jerusalem from Jordan in the 1967 Middle East war, then annexed it, but that territorial claim has not been recognized internationally.

Palestinians say the development plans are designed to strengthen Israel’s hold over East Jerusalem, which they claim as capital for a future state.

After the local planning committee gave preliminary approval on Monday, the plans were to be opened up for public appeal. It will need to pass through two more stages at the local level before approval would be sought from the district committee.

One plan deals with the Bustan area of Silwan. Long zoned as parkland, it now contains 88 structures that Israel says were built without permits. The plan calls for 22 of them to be razed to make way for a park, and for the other 66 to become part of a new residential and commercial tourist center. The Palestinian residents have rejected the plan.

Another plan would allow building of up to four stories in the main residential area of Silwan, permitting the creation of 1,000 new housing units, city officials said. Only two stories had been permitted, though more than half the structures violate the building code. The changes would also legalize four stories of an illegally built seven-story apartment block in central Silwan that is occupied by settlers.

Fakhri Abu Diab, a leader of the Bustan residents’ committee whose home is scheduled for demolition, said the city had “become the enemy of the people.”

“They want to make a garden not by my house, but instead of my house,” he said, adding that his family was “living in fear.” Mr. Abu Diab said his house was more than 20 years old, that he paid taxes, and that his efforts to legalize the house had failed.

Stephan Miller, a foreign affairs aide and spokesman for Mr. Barkat, said the mayor’s position was that either “we can remain with our heads in the sand like ostriches” and watch the quality of life of the residents worsen, or bring “proper planning” to communities that were “forgotten.”

In March, Mr. Netanyahu asked Mr. Barkat to delay the plan for Bustan in order to allow more time to reach an understanding with residents, and Mr. Barkat agreed.

Asked whether any consideration had been given to the timing of Monday’s vote, given that indirect, American-brokered Israeli-Palestinian peace talks started in May, and Mr. Netanyahu plans to meet with President Obama in Washington on July 6, Mr. Miller said “absolutely not.”