The hotel was built in 1952, is an iconic landmark in Taipei, Taiwan. It has played host to many foreign dignitaries that have visited Taipei.

In 1995, a disastrous fire broke out on the roof during necessary reconstruction and refurbishment, and because neither ladders nor high pressure pumps could reach the fire, the roof and the upper floors were destroyed. Following the fire, the two dragon heads on the roof were rotated 180 degrees to point inwards. As dragons are traditionally a symbol of rain and water, this was intended to symbolize preparedness against a future fire.