The Bible speaks of two Jerusalems; one earthly and one heavenly. The vast majority of scriptures speak of the earthly Jerusalem, yet there are references to heavenly Jerusalem in the New Covenant.
Galatians 4:26 – "the Jerusalem above is free, which is the mother of us all."
Hebrews 12:22 – "You have come to Mount Zion and to the city of the living God, the heavenly Jerusalem…"
Most of the understanding and revelation concerning earthly Jerusalem has been held by the Jewish people; while most of the understanding and revelation concerning heavenly Jerusalem has been held by the international Christian church.
However rabbinic writings have always referred to a "Jerusalem of above" and a "Jerusalem of below." And in the last generation, since the re-capture of Jerusalem in 1967, the Christian understanding of God's plan for earthly Jerusalem has greatly increased. Interestingly, the Koran does not mention Jerusalem even once, and when Muslims in east Jerusalem pray, they turn their back to the Temple Mount and face Mecca.
Not only is there a heavenly Jerusalem, there is a heavenly Tabernacle within that city as well (see Revelation 15:5-8 and Exodus 25:40).
As with all aspects of His kingdom, God's will is for a harmony between the heavenly reality and the earthly one. Whatever we bind on earth will be bound in heaven (Matthew 16:19, 18:18). We are to pray that God's will shall be done on earth as it is in heaven (Matthew 6:10). God's kingdom manifests when there is an alignment between the heavenly and the earthly.
Because of the separation between Israel and the Church over the past 2,000 years, there has not been the right harmony between the earthly and the heavenly Jerusalem. However, our generation is blessed to see the beginning of the reconciling of the two. God's will for earthly and heavenly Jerusalem will be unified as Israel and the Church are reconciled.