The palace was first a mud-brick defence built by Kempegowda in 1537. Hyder Ali and his son Tipu Sultan later rebuilt it 1791. The two-storied structure (replica of the a Daria Daulat in Srirangapat- nam) served as Tipu's summer retreat, which he endearingly called lask-e-jannat (the envy of heaven).
An inscription on the wooden screen describes the palace as the 'abode of happiness', almost mocking the ruins that surround it. Though the palace still has elegant teak pillars, most of the painted decorations have been destroyed and it is in very bad shape.