Construction designed by Karl Friedrich Poppelmann was carried out between 1734 and 1751. It was built on a nearby high ground with the Castle hill, opposite the old castle.

The Royal Palace was entirely met the requirements of this age. It was built in the center of the city and at the same time had separated from it. The main two-storey building looks like horseshoe and created a large front courtyard - court of honor. The building was create in the rococo style. Facades were divided into pilasters and were decorated by cartouches with masks. Combination of rich brick red tiles and white-pink facades increased the picturesqueness of the building.

Main entrance led into a large Hall of the Guard, decorated with frescoes. From this room you can get to the first reception of the King (Oval Room), Senator and Ambassador Halls. Each of it was elegantly decorated with cartouches and rocailles, fresco imitation of architectural
details. The Royal apartments was in the right wing of the palace. The premises for the courties was in the left wing. In front courtyard was two buildings - guardhouse (building for royal guard) and bakery. Between them still preserved fences and gates in its original form, massive pylons with sculptures of mythical creatures. Fencing columns topped by helmets with military attributes.

The palace, built in the time of King Augustus III of Saxony, already under his successor Stanislaw August Poniatowski survived the first change in favor of the classical style. Giuseppe Sacco and probably Shymon Mankovsky were managed the work. The first general meeting of the General Sejm passed in this palace in 1744, and then - in 1748, 1752 ... But the most significant historical events have taken place there at the end of the century. In 1793, there sat the last General Sejm, which was approved the second division of the Commonwealth between Russia and Prussia. During the national liberation uprising on 30 September 1794 its leader Tadeusz Kosciuszko spent in Grodno Royal Palace council with the heads of the rebel troops of the Grand Duchy of Lithuania.

After the uprising, the palace again sheltered the king and in November 25, 1795 he signed the act of abdication. The state was finally divided by Russia, Austria and Prussia. King continued live in the palace until mid-February 1797 and then building was moved to the military department of the Russian Empire and was used as a hospital about 140 years.

In the middle of the 19th century big renovation was carried out in New Castle, during this renovation part of the building has been redone. The structure was damaged during the battles for the city in 1944. Restoration of the palace and its adaptation under the administrative institution managed architect Vladimir Varaksin. Palace has acquired the so-called pseudo-russian style. Since 1952, in New Castle was located Grodno Regional Committee of the PBC. In 1991 main building and left wing of the palace become a museum. The rooms were renovated into enfilades of exhibition halls, and some of them adapted for storages.