History

On October 6, 1881, the Palace Hotel opened its doors for the first time, boasting cutting edge and lavish appointments of the day that included an electric elevator, hot water on all three of its floors, and a billiards hall.  As The Santa Fe New Mexican reported at the time, the hotel was “one of the most famous hostelries of the Southwest”.  The Hotel’s proprietors, P. Rumsey & Son, rented the rooms for $3/day and played host to some of the most renown dignitaries of the time, including celebrities, artists, heads of state, professional athletes, politicians, bishops and even international spies.

In 1901, the Hotel was purchased by William Vaughn.  A man of color, Vaughn was well-liked by politicos on both sides of the aisle, helping to establish the Palace Hotel as a popular hub among both Republicans and Democrats for schmoozing as well and doing business.  As it entered the 1900s, The Palace would continue to attract the most tony events of the day, including inaugural balls, wellness retreats, and traveling shows.

Then, on January 22, 1922, while a reported thousands of community members watched, this gem of Old Santa Fe slowly burned to the ground.  The tragedy was described by The Santa Fe New Mexican as the biggest fire in the history of the city. And although the fire was slow-burning, it could not be extinguished due to lack of water pressure sufficient to douse the flames.  The cause of the fire was never determined, but all of the guests were able to flee the building, and hotel staff even had enough time to remove furnishings and documents from the burning building.

Today, Palace Modern stands on one quadrant of the Palace Hotel’s previous footprint, along with its neighbors Las Poblanos Norte and Market Steer Restaurant.  

Santa Fe from Old Fort Marcy. D.B. Chase Photographer, Santa Fe, New Mexico.