The palace was built at the beginning of the 19th century by Count Alfred II Potocki, who was a political figure and governor of Galicia. The architect of the project was the Frenchman Louis d'Auvergne, and the building received the style of French architecture.
The palace is designed for ceremonial receptions and meetings, so it has many drawing rooms and a wide courtyard for carriages. The main facade is separated from Copernicus Street by a massive wrought-iron gate, and behind the palace is a terrace and a rounded staircase with a balustrade. The interior of the palace is made in the style of Louis XVI.
After the Second World War, the palace building was owned by various institutions. After restoration in 1975, the Palace of Marriages was opened here. Finally, the Lviv Art Gallery got possession of the palace. Now in its halls, visitors can view the exhibition of interiors and examples of European art of the 18th century.