On Nagar Road, this Palace is also recognized as Kasturba Gandhi Memorial or Kasturba Samadhi. This palace was built in 1892 by Imam Sultan Muhammad Shah Agakhan III and was donated to India in 1969 by Aga Khan IV. It was here itself where Kasturba Gandhi and Mahatma Gandhi's long time aide Mahadeobhai Desai passed away.
This palace that once belonged to the Agha Khan, served as quarters for imprisonment of Gandhi and his wife Kasturba towards the tail end of the British rule in India. Situated near the River Mula the palace is a simple memorial to Gandhi and his life and times. A special cenotaph honours Kasturba who died here. A shop attached sells khadi or cotton handloomed garments and textiles.
Also called the Gandhi National Memorial or the Yerewada Ashram it is located at Talegaon Road, beyond Fitzgerald Bridge.