The Israeli cabinet unanimously approved Sunday a proposal to erect temporary housing for residents of the illegal West Bank outpost of Migron, which would allow for the outpost's evacuation by July 15.

The High Court of Justice last month ordered the state to evacuate the illegal West Bank outpost and dismantle it by August, after rejecting an agreement between the settlers and state to defer the evacuation by three years.

Open gallery view The Migron outpost in September, 2011. Credit: AP

The outpost was built on privately-held Palestinian land, a practice the court outlawed decades ago.

Israel is set to spend NIS 25 million to build a temporary housing site for Migron's settlers, who have been ordered to leave the West Bank outpost by August. Migron residents are due to move into temporary housing in the settlement of Kokhav Ya'akov.

The temporary site will consist of public structures, 50 prefabricated homes and minimal infrastructure, at estimated cost of NIS 500,000 per family, totaling NIS 25 million, an official said. The state will probably foot the bill, it was learned.

The permanent neighborhood will require more comprehensive construction work and is expected to cost tens of millions of shekels.

Migron's settlers are to pay for building the permanent houses themselves, the official said.

"We decided to establish facts on the ground and, by our power as a regional council, ordered to prepare the area for mobile homes and later permanent ones for Migron's settlers," said council head Avi Roeh.