The Palace of Happiness, one of Baku's romantic manifestations, is an architectural masterpiece erected with love and affection by Murtuza Mukhtarov, a patriotic son of Azerbaijan, a well-known philanthropist. Like Agha Murtuza's life path, his love life was also turbulent and unusual. He often visited different provinces of Russia and signed business contracts. On one such trip, Murtuza Mukhtarov met the famous general Hambi Tuganov in Vladikavkaz. General invites Mukhtarov in his house, and this invitation has a significant impact on Murtuza Bey's life. Mukhtarov meets the general's young, gorgeous daughter, Lisa, during the party and instantly falls in love with her. Lisa khanum also fell in love with him. At that time, love was always considered a matter of honor in the Caucasus. Since there was a big age gap between them, the general did not agree to this marriage at first. However, Agha Murtuza's noble way of behaviour and loyalty persuaded the general approve this marriage. Murtuza Mukhtarov's marriage proposal and wedding ceremonies were very splendid and luxurious. The bride was taken away in a silver-trimmed phaeton, accompanied by a cavalcade of honour on white horses, also dressed in white from head to toe. Then the newly wedded couple toured Europe cities for their honeymoon. They were fascinated by the architecture of the monuments of the cities they visit during their travels. They enjoyed the scenery of the arches, columns, towers and all the details of the buildings with undivided attention. Lisa shared her admiration with Murtuza while passing through one of the ancient streets: "I wish we lived here..." These words were engraved in the memory of Agha Murtuza.The millionaire sent an expert to Europe and obtained a project that covered the exact speed of that building. After that he turns to the most famous Polish architect Joseph Ploshko. As a result, the huge Palace in the sophisticated French Gothic style was built in only one year (1911-1912).One day, Agha Murtuza brought Mrs. Mukhtarova in front of the building in a carriage for namely going for a walk. Mrs. Mukhtarova who was shocked and did not know what to say, was overjoyed when she heard that this building had been given to her. Until 1920, the Baku millionaire and his wife lived happily ever after in this palace... By resolution of the Cabinet of Ministers of the Republic of Azerbaijan dated August 2, 2001, No. 132, the building was added to the "List of immovable historical and cultural monuments of national importance" as a historical monument from 1911 to 1912.