The Falaknuma Palace is regarded as one of the most magnificent palaces in India. It is situated on a hill 2000 feet high, towards the south, about 5 km from Charminar. It was built by Nawab Viqar-ul-Umara, the fifth Ameer of the Paigah, in the late 19th century.

The palace was designed by an Italian architect and the marble used in the palace was imported from Italy. A special pavilion forms a museum of art treasures collected from various Indian States. The palace has priceless collections of paintings, statues and English furniture. Falaknuma is one of the best located palaces in Hyderabad, with a commanding view of the entire City.

The palace was purchased by Nizam VI in 1897 and was used as a royal guest—house. The Duke of Windsor, and other monarchs, Heads of states and Governors have stayed here. The splendour of Falaknuma Palace and lavish hospitality became famous throughout India. Muhammed Quli Qutb Shah who had earlier built a palace known as Tur Mahal on the same site, had named the hill Kohi Tur after the hill in the Sanai Desert.

“The interior of the palace is reached by a double flight of steps which leads into a spacious verandah. The marble vestibule always seems delightfully cool on the hottest day, is filled with marble seats surrounding a beautiful fountain. The walls and the ceiling of the vestibule are artistically painted and decorated. Beyond this is a waiting room, adjoining which is the library containing a most valuable collection of manuscripts and printed books.