Thinking in terms of national religious goals rather than in terms of individual welfare and individual rights.
The ownership of the land in question is not defined - referring to it as "disputed" territory means that the dispute is between the Israeli government and the Palestinian Authority (PA) for jurisdiction.
Either way, in this conception, this is "public land". If it is within the borders of the PA territory. then logically it would seem to "belong" to them. So, thins comes down to a dispute about all the land in the territory. Can the Israeli government own pieces of it? Or the PA? If, yes, then this mixed jurisdiction situation would seem to be a recipe for persistant conflict. My neighbor in that village over there is actually in another country?
But, none of this, addresses the question of who may live on any particular piece of land and use it. That is a separate question. In terms of individual rights, who owns the land?
If the PA has jurisdiction, can Jews buy the land? If not why not? Same with land in Israel. Can Palestinians buy land there? Why not? This is where discussion should start and compromise follow.
Caroline Glick has proposed that all living in the territories be offered Israeli citizenship and that Israeli civil law be extended over the territories, perhaps creating a federal structure with decentralized local autonomy.
Of course this won't work if each side (group of people) is simply committed to the removal of the other from the area, which is what we have.