On person was lightly wounded, suffering scratch wounds to his face, after a pipe bomb was thrown at the parking lot near Rachel's Tomb, just north of Bethlehem.
Police and Border Guard forces are currently at the scene.
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Earlier Monday, Palestinians threw an improvised grenade towards an IDF base near Bethlehem. There were no casualties and no damage caused to the base.
The two events join a string of recent events that have threatened to destabilize the West Bank and undermine US-brokered peace talks currently underway.
On Sunday, Palestinians threw four firebombs and stones at an Israeli car near the Palestinian village of Kfar Hussan, west of Bethlehem.
There were no injuries, but damage was sustained to the vehicle. IDF forces are canvassing the area.
Just two weeks ago a 41-year-old police officer working for Israel's security forces was stabbed in an apparent terror attack near the settlement of Adam. The man suffered moderate injuries after sustaining a stab wound to the back.
The doctor in charge of treating the wounded officer said the long blade nearly penetrated his heart. Judea & Samaria police superintendant relayed that the Palestinian suspect evaded police, most likely fleeing to an adjacent village.
The stabbing incident came a mere day after a bomb exploded on a Bat Yam bus.
Luckily, one alert passenger and one cautious bus driver prevented the terror attack, pulling over to drop off the rest of passengers and calling the police who sent bomb disposal specialists.
Only a few minutes after police arrived, the bomb exploded, injuring one policeman.
Yoav Zitun contributed to this report