the neighborhood they raided was mea shearim, the second-oldest jewish neighborhood outside the old city in jerusalem. it was founded in 1874 for ashkenazi haredi communities who were immigrating to palestine following jewish emancipation. among its founders is meir auerbach, the first ashkenazi chief rabbi of palestine.
most of the neighborhood's residents today are ashkenazi haredi and non-haredi orthodox jews (though mizrahi/sephardic communities also exist there). the neighborhood is deeply religious and follows religious/modesty laws common to other haredi/orthodox neighborhoods.
the haredi council - a religious communal organization which provides religious and welfare facilities - is also located here. though it was founded by ashkenazim in 1921, it includes a sephardic council now as well.
the council - and neighborhood in general - are staunchly anti-zionist on the basis of theology and refuse to associate with the israeli government. notably, neturei karta is centered here, having been created after splitting with the ashkenazi haredi political party agudat yisrael on account of its zionism.