Its construction started in April 1894 and involved Italian and the best local craftsman. In the next year - 1895, the palace area was surrounded by high walls and in front of the main facade it had lower walls with metal bars, made in the army factory in Obod. During the same year, a tennis court and swimming pool were built in the courtyard. In mid-1910, electrical lighting was introduced. Crown Prince Danilo used this residence until 1916. Today, the building is an established gallery space.