In the Book of Mormon, we learn that a group of Lamanites and dissident Nephites had built a city which they named Jerusalem, being named “after the land of their fathers’ nativity” (Alma 21:1, also see vs. 2). This city was near the waters of Mormon, where Alma the Elder had preached and baptized earlier (see Alma 21:1-2; cf. Mosiah 18:4-16).
After the crucifixion of Christ, the Book of Mormon reports that a great deal of destruction took place, during which several cities are said to have been submerged by water (see 3 Nephi 9:7). This “Jerusalem” is one of those cities.
Based on that information, John L. Sorenson placed Jerusalem on the southern shores of Lake Atitlán, which he had designated as the waters of Mormon. “The likely spot [for Jerusalem] is near Santiago Atitlan, on the extreme southwestern tip of Lake Atitlan.” Realizing that Jerusalem was quickly submerged by water, Sorenson notes that “the level of Lake Atitlan has shifted dramatically – by as much as 60 feet within historical times, and up to 15 feet in a single year – so a city located on this shore could understandably be submerged quite abruptly.” Sorenson also suggests that this new world “Jerusalem” would have had religious significance to those who built the city.