There actually is a difference between Israeli and Jew. Israelis are officially enemy aliens occupying the Palestinian people. Some Jews are Israelis. But not all Israelis are Jews. Though the Death Penalty is overly harsh, the law is also consistent with Geneva IV which Israel signed on to. That Treaty prohibits Israel from acquiring private land from those under occupation. It does allow temporary use, if rent is paid. But that use must end with the occupation and the land must be returned in its original condition, unless other agreements (not dictates) are made. That is also consistent with Israeli written statute.
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from the article: PA court: Sale of Palestinian land to Israelis is punishable by death