It is strictly forbidden by Article 55 of the Hague Regulations 1907
"The occupying State shall be regarded only as administrator and usufructuary of public buildings, real estate, forests, and agricultural estates belonging to the hostile State, and situated in the occupied country. It must safeguard the capital of these properties, and administer them in accordance with the rules of usufruct."
If it is state land then the occupying power MUST NOT treat it as if it belongs to Israel.
Because Israel DOESN`T own it - it only administers that state land under the rules of usufruct.
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