"I condemn the decision by the government of Israel to advance planning for new housing units in East Jerusalem," Biden said in a statement released by the White House.

"The substance and timing of the (settlement homes) announcement … is precisely the kind of step that undermines the trust we need right now and runs counter to the constructive discussions that I've had here in Israel."

The announcement, by the Israeli Interior Ministry, came as Biden, in Israel for meetings with Israeli President Shimon Peres and others, tried to pave the way for a new round of Israeli-Palestinian talks.

Israeli Prime Minister Binyamin Netanyahu cited an "unbreakable bond" between the United States and Israel that would help the countries meet "historic challenges," including securing lasting peace in the Middle East.

"I also appreciate the administration's effort to advance peace in the region," Netanyahu said. "I know that this has been difficult and has required a great deal of patience. But I'm pleased that these efforts are beginning to bear fruit."

Biden said resumption of Israeli-Palestinian talks offered a "moment of real opportunity" for peace in the region, Haaretz reported.

"I think we are at a moment of real opportunity," Biden said during his meeting with Peres. "The interests of both the Palestinians and the Israeli people, if everyone would just step back and take a deep breath, are actually very much more in line than they are in opposition."

In a meeting with Netanyahu, Biden said: "The best long-term guarantee for Israel's security is a comprehensive Middle East peace with the Palestinians, with the Syrians, with Lebanon and leading eventually to full and normalized relationships with the entire Arab world. It's overwhelmingly in the interest of Israel, but it's also overwhelmingly of interest to the Arab world. And it's in our interest, as well."

Biden plans to meet with Palestinian leaders in the West Bank Wednesday.

Concerning the U.S. commitment to Israel's security, Biden said, "There is absolutely no space between the United States and Israel in terms of Israel's security, our mutual security -- none at all."

Biden's five-day trip to the region also includes meeting Jordanian leaders and delivering a speech at Tel Aviv University.