the planned city of Kasif, which is meant to be designated for the Haredi community and will be as large as having a population of 100,000 people living there eventually, was recently approved.

Kasif has been going through various stages of approval, but now the Ministry of Housing committee decided to reject the claims of the environmentalists protesting the plans and approve them, and to recommend to the planing and construction committee to approve the plans.
source: Ynet

Despite a city being planned for Haredi construction, some people in the Haredi community are still upset by it.

MK Yaakov Asher (UTJ), in an interview to Globes, explains why he opposes the plan and is unimpressed with the approval.

Basically he is upset that the government is throwing the Haredim to an area nobody wants. he also says the expenses will be too high to build such a city, and it is a better idea to expand an existing city with new neighborhoods for the Haredi community. Arnona from residential property isn't enough to sustain a city, and if no industrial zones are planned, as they are not, it will just be a bedroom community or a satellite town, and will constantly require government subsidies to stay afloat, and will never be self-sustainable.

my thoughts:
1. Asher is basically acknowledging that the Haredi community cannot sustain itself. They need to connect to the general society in general cities, even with separate neighborhoods, in order to survive/thrive. They cannot do it on their own.
2. Asher wants lots of Haredi housing for cheap, but he does not want it in areas where the property is cheap. he wants it in Jerusalem or other more central areas. Well, those areas have expensive land, which means the housing costs are more expensive. Building in cheaper areas will help keep the housing prices down for the community that needs cheap housing.
3. Ariel Attias, when he was Minister of Housing, was the one who started the process for Kasif. Attias was famous for saying that he believes that Haredi community has to live separate from the general community and mixing the two does not work - it creates tension and conflict. Asher does not like that idea and prefers neighborhoods be built for Haredim in general cities. Asher really does want separation between Haredim and non-haredim. he will not advocate for mixed neighborhoods, and he will not defend the rights, or promote it as an ideal, of non-haredim to live in Haredi neighborhoods. Asher wants separation, just not so much that would require the Haredi community to be self-sufficient.
4. the mayor of Arad, also interviewed in the article, says she is happy with the plans of the nearby town for Haredim. It seems a bit selfish, as she says it means more business in Arad, as the residents of Kasif will require the use of much of Arad's services. She does not want them living in Arad, as she is concerned of what she calls "the Bet Shemesh effect" where so many Haredim will move in they will eventually take over the town and change its style. Basically, she wants the Haredim close enough to give Arad their business, but far enough that they will not change Arad in any way.