The US officials also had to an intimate dinner at the Netanyahu residence that evening.
Netanyahu tweeted in Hebrew on Monday: "What an exciting day for the people of Israel and the State of Israel! Once again, we were dreamers."
Ivanka thanked the Netanyahus for dinner, noting that she was "honored to join you and the US Delegation in commemorating the dedication of our new embassy and celebrating the friendship between our two countries."
Meanwhile, thousands of Palestinians are expected along the border of Israel and the Gaza Strip to protest the new embassy on Monday. The Israeli army said it would double the number of troops surrounding Gaza and the West Bank in anticipation.
While East Jerusalem, including the historic Old City, has been under Israeli control since 1967, Palestinians view it as the capital of any future state.
Palestinian critics see the Trump administration's recognising Jerusalem as the Israeli capital as backing Israeli control over the entire city.
Mahmoud Abbas, the leader of the Palestinian Authority, called the US decision "the slap of the century."