The real issue is that the site is engaging in religious discrimination, if you’re looking at it from a secular legal viewpoint. Sure they’re trying to mask it by referring to it by geographical restrictions but it is obvious who they’re targeting. It would be no different than having a more restrictive return policy for blacks by limiting it to Harlem, Bedford-Stuyvesant and other highly densely black populated neighborhoods rather than saying blacks specifically. The law doesn’t permit discrimination if you target the victims in a non-direct manner.
It makes no difference, legally, if the discrimination against Orthodox Jews is being done by an Orthodox Jew or if the discrimination against blacks is being done by a black owner.