This paper discusses the contention over the city of Jerusalem following Israel’s annexation of the West Bank during the June 1967 War. First, the immediate aftermath of the war is discussed alongside the implications on the legal status of Palestinians in East Jerusalem. The paper then details the urban policies implemented by Israel in the decades following the war and describes their effects on the lives of Palestinians in East Jerusalem. Furthermore, attention is given to the limited Palestinian response to the Israeli occupation of urban space. Finally, these issues are put into the context of the Arab-Israeli conflict as a whole. The findings of this paper reveal the effects that years of urban policy can have in shaping a conflict. As urban policy is used in an attempt to shape the demographic reality of Jerusalem, this paper concludes with an outlook on the future for Palestinians in East Jerusalem.