Al Jazzera has put out leaks regarding the negotiations between Israel & the Palestinians.
One of the points was that The Makom Hamikdash would go under international supervision (an improvement over the Wakif, IMHO) with the Old city split Armenian & Jewish to Israel, and the other two to Palestine.
If they would really be sincere they would discuss solutions that fit both sides. It is no secret that if Israel were to give them what they want that would leave Israel vulnerable to being separated from itself.