A green Hamas flag now waves from the top of the bullet riddled mosque minaret with views of the Mediterranean. And workmen are busy patching up the thousands of holes left over from the "Battle of the Mosque."
No one knows for sure how many Palestinians in Gaza are turning towards Al Qaeda-inspired groups in the isolated Mediterranean Strip.
They may be small in number, but Hamas is taking the threat seriously.
Supporters of fundamentalist Islam -- including those who oppose the militant offshoots -- have been forced into hiding. Few are willing to talk openly. They speak about their faith in whispered conversations, or not at all.
Hamas has set up new checkpoints on the main Gaza Strip roads where they are looking for suspicious characters. And extremists militant groups in Gaza have vowed to exact revenge on Hamas for last weekend's brutal battle.
Until the weekend showdown, Abdel Latif Moussa was well-known for his extremist views. And he was regarded as a smart, charismatic speaker who seemed to have a magnetic appeal to young Palestinians.
Former students and those who heard Moussa speak said he was booted from a southern Gaza Strip mosque after praising Osama Bin Laden in 2002.
During Ramadan that year, Moussa upset his allies with a speech in which he lauded Bin Laden and Sayyid Kutub, the intellectual father of the Muslim Brotherhood.
"God give victory to your slave Osama," Moussa told followers, according to Ibrahim, a 23-year-old Islamic scholar who was mentored by Moussa as a teenager searching for his religious grounding.
After being kicked out of the fundamentalist group, Moussa's former students said, Moussa moved south to Rafah, the town on the Egyptian border best known for the network of smuggler tunnels that keep food, fuel, weapons and other supplies flowing in for the 1.4 million residents.
It was there that Moussa apparently met Khaled Banat, a shadowy Palestinian figure who is believed to have helped transform Moussa's followers into a militant force known as Jund Ansar Allah (Warriors of God).
Banat's story is predictably murky and difficult to verify. Some say he was a Palestinian from Gaza who became an aide to Hamas political leader Khaled Mashaal in Damascus.
As one story goes, Banat was sent to Gaza to help train Hamas militants. After becoming disenchanted with Hamas, some people claim, he joined forces with Moussa.
Others claim that Banat broke with Hamas years ago, went to fight in Iraq and Afghanistan, and was already charting his own course when he came to Gaza via the smuggling tunnels.
Hamas claims that, as its forces closed in, Banat used a suicide belt to kill himself and Moussa.
No one is quite sure why Moussa decided that now was the time to openly challenge Hamas.
Hamas contends that Moussa, who reportedly received a salary from the Palestinian Authority in Ramallah, was ordered by Fatah leaders to issue the challenge.
"We are sure Israel and Ramallah are behind it," said Ihab Ghussein, a spokesman for the Hamas government's Interior Ministry in Gaza.
Others speculate that Moussa and Banat miscalculated. Either they didn't think Hamas would respond with such force, or they thought that the small network of like-minded groups would come join the fight.
That may have been one of the reasons Hamas did respond with such force.
There were rumors that Moussa was part of an effort to unite the small and disparate fundamentalist groups under one umbrella.
Until now, Hamas has managed to contain such groups in Gaza. One of its first acts after seizing complete military control of Gaza in 2007 was to force the Army of Islam to free BBC reporter Alan Johnston.
Since then, the Army of Islam, led by Mumtaz Dagmoush (another Al Qaeda-inspired militant), has been largely held in check.
Hamas is trying to make sure these groups remain fractured and impotent.
For the moment, it seems like Hamas has contained the immediate challenge to its power.
What remains to be seen is how these militant groups respond.