The outpost, which consists of a permanent structure where people are believed to be living, is located at the end of a vineyard.
There are three hills in the Neguhot area. The community itself is located on one of the hills, the Mitzpe Lachish outpost was built on a second hill, and the new building has now been located on the third one.
Mitzpe Lachish and Neguhot were included in Attorney Talia Sasson's report on unauthorized outposts.
Zviki Bar-Hai, head of the South Mount Hebron Regional Council, said in response that "Palestinians build such houses on a daily basis, particularly in the Neguhot region.
"Had there been a planning and development policy for both Jews and Palestinians, I may have had something to say. But this is what happens in a reality where Jews are not allowed to do anything and Palestinians can do everything (in the C area)."
The Peace Now movement said in a statement, "The settlers aren't wasting any time and continue to change reality. Every day which goes by distances Israel and the Palestinians from the possibility of implementing the two-state vision and makes reality impossible.
"Instead of talking with the settlers' leadership, the defense minister must enforce the law and immediately evacuate the new outpost along with the dozens of additional outposts built in the territories illegally."