This is an ancient building on the Bhavani Mandap-Kasaba Bavda Road. It was constructed during 1877-1884. Being an excellent specimen of architecture build in black, polished stone, it has been an attraction for the tourists. It has extensive premises with a beautiful garden, fountain and wresting ground. The whole building is eight-angled and has a tower in the middle. The clock on it fixed in 1877. At separate distance there are small towers. On every glass are painted the events in Shivaji's life. There is zoo and a ground lake. Even today, it is the residence of Shreemant Shahu Maharaj.
The New Palace is 1.5 kms further north on Bhausingji Road. Completed in the same year as the Hospital, this complex presents a novel blend of disparate features in contrasting basalt and sandstone. The principal south facade presents a double-storeyed range, with Neo-Mughal lobed arches beneath and temple-like columns and brackets above.This scheme is interrupted by trefoil arches capped with curving cornices and small domes. The same elements cap the octagonal corner towers. The central porch is marked by a pronounced curved cornice. To one side rises a 45m high clock tower capped with an octagonal domed pavilion. The interior of New Palace accommodates the Shahaji Chhatrapati Museum, given over to memorabilia of the Kolhapur rulers. Its furnished appartments and corridors are crammed with arms, haudahs, paintings and photographs.The Darbar Hall occupies a double-height space in middle of the Palace. The side walls display lobed arches filled with stained glass illustrating scenes from the life of Shivaji, carved coloumns with temple-like brackets support the cast iron balcony above. A raised throne is placed at one end of the Hall.
This place is residence of Shrimant Chh.Shahu Maharaj even today.