The blast caused extensive damage to vehicles and property, with one resident saying their home was completely destroyed.
Emergency services released video showing burning cars and thick smoke rising near the apartment block.
The Israel Defence Forces had issued an alert before the strike, which follows a deadly barrage earlier in the week.
Israel, meanwhile, carried out strikes on Iran’s Arak heavy water reactor, its latest attack on Iran’s sprawling nuclear program. Iranian state television said there was “no radiation danger whatsoever” and that the facility had been evacuated before the attack.
