Designed by Henry Currey, the Palace Hotel was built between 1863 and 1867. It was sold at auction in 1867 due to the financial difficulties the original company were facing. A brochure from this auction shows us that the hotel was originally called The Buxton Hotel and cost a total of £50,000 to build. Annual ground rents totaling £152 14s 2d were payable to the Duke of Devonshire who owned the land. The name was changed by the new owners who included: the Duke of Devonshire, two London Northwest Railway directors and a prominent local businessman.