Look ahead for a grand, historic tan building stretching nearly a block with “THE PALACE” sign perched on its rooftop-it’s right on the corner of Market and New Montgomery, across from the ornate Lotta’s Fountain.
Welcome to the Palace Hotel-a place where San Francisco’s history still lingers in every polished marble corner and sparkling chandelier. Imagine yourself here back in the late 1800s. The original Palace Hotel was born in 1875 from the wild dreams (and shaky finances) of William Ralston, a daring banker with a taste for the spectacular. He bet everything on this luxury hotel, only for his fortunes to vanish overnight-he tragically drowned the very same day he lost his bank. Still, just two months later, the hotel opened with a flourish, dazzling everyone with 755 rooms, redwood-paneled “rising rooms”-those were incredibly fancy elevators for the time-and an open Grand Court, where horse-drawn carriages clattered over stone floors.
They called it the Bonanza Inn, and for good reason-the Palace was the grandest hotel west of the Mississippi, towering over San Francisco and even stealing the spotlight from hotels in New York and Paris. Every suite had electric call buttons, private bathrooms, and bay windows that peeked over the bustling street. The chef, Jules Harder, dished up gourmet feasts while William “Cocktail” Boothby shook drinks for every notable guest who passed through.
But just as legends rise, they can fall. On April 18, 1906, the earthquake hit at dawn, shaking San Francisco awake. The Palace Hotel survived the tremors, but the fires that followed roared through and left it gutted by afternoon. Among the startled guests that morning was the famous tenor Enrico Caruso-imagine him standing here, reportedly in his nightshirt, demanding attention with a signed photo of President Roosevelt in his hand! He swore, with the drama only an opera star could muster, never to return.
While the Palace’s rubble was being cleared, a “Baby” Palace sprang up on Post Street to fill the void-a tiny two-story hotel that lived a brief, flashy life before the grand reopening of the new Palace Hotel, right here, in 1909. The new structure lost some of its exterior extravagance but gained a heart of golden luxury inside. The Garden Court, once a place for carriages, bloomed into a palm-filled wonder-so stunning, it’s still the city’s most famous dining room. Just off the lobby, you’ll find the Pied Piper Bar, home to a giant, gleaming painting by Maxfield Parrish. That painting has quite a story itself-it was almost auctioned off in 2013, but a citywide uproar saved it, and now it hangs here better than ever.
The Palace isn’t just about opulence; it’s a time capsule for pivotal moments. King Kalakaua of Hawaii, after travels that exhausted his health, passed away in his suite here in 1891. President Warren Harding checked in-only to check out of this world, dying in Room 8064 in 1923. Woodrow Wilson championed world peace from the Garden Court, and the United Nations celebrated its grand beginnings right inside these walls in 1945. Even Soviet leader Nikita Khrushchev stood on this marble, stirring up excitement during his 1959 visit.
Through grand parties and somber farewells, movie magic found a home here, too-Herbie, the Love Bug, once raced across the Garden Court during a chase scene. Literary heroes like Molly Murphy Sullivan have solved mysteries here, while pop stars and presidents have lunched together beneath the glass dome.
Renovations, strikes, and changing hands followed. Ownerships shifted from Sheraton to Japanese Kyo-Ya group, from ITT and Starwood to Marriott, but the Palace stood tall, its ornate ceilings and iconic Garden Court gleaming through every twist of history. Even as recently as 2024, the halls echoed with the sound of workers rallying for fair treatment-a reminder that, for all its splendor, the Palace remains the beating heart of a real, ever-changing city.
So whether you stop to imagine jewels and tuxedos twirling in the Garden Court, hear the distant clink of cocktail glasses, or feel the rush of history beneath your feet, remember-here at the Palace Hotel, San Francisco’s wild, wondrous story is always being written.
To expand your understanding of the the original palace hotel (1875-1906), the "baby" palace hotel (1906-1907) or the the "new" palace hotel (opened 1909), feel free to engage with me in the chat section below.
