The hotel was founded in 1880 as the '''Grand Hotel d'Italie Bauer-Grünwald''' by Mr. Bauer, a director of Venice's Hotel de la Ville, and Julius (Giulio) Grünwald, an Austrian who married Bauer's daughter. The main hotel building, facing the Grand Canal, was rebuilt from 1900 to 1902, to designs by architect
Giovanni Sardi in an eclectic neo-
Gothic style, which has been described as "perhaps the most significant representative of late-nineteenth century Venetian medieval mannerism". On the southwest corner is the Canal Bar, a large ground-level terrace surrounded by a stone fretwork fence; at the corner there stands and a 3.6m tall statue of a woman representing Italy, a work of Carlo Lorenzetti. Before the hotel's construction, this was a public square called
dei Felzi. Some fragments of that building were incorporated into Sardi's construction. The hotel was closed for much of the 1940s, during which time Bennati undertook extensive renovations and added an extension to the hotel in the rear, facing the Campo San Moisè. The new wing was designed by Marino Meo in 1945 and completed in 1949. The adjacent
San Moisè church, with "the busiest façade in town", contrasts with the travertine cladding and light-colored marble columns of the Bauer extension,
Joseph Brodsky described the juxtaposition as "Albert Speer having a pizza capricciosa". The hotel underwent a major renovation that year, overseen by Bortolotto Possati. The 1949 wing was marketed as the
Hotel Bauer, while the older section was separately marketed as the
Hotel Bauer Palazzo. The hotel closed in November 2022 for a major renovation. The hotel is a member of
Leading Hotels of the World. In April 2024, Signa (by that point insolvent) arranged a sale of the shuttered hotel for an undisclosed amount to German industrialist family business Schoeller Group. However, the deal was stopped by Signa's primary financier, US-based
King Street Capital Management, which instead assumed direct ownership of the hotel and sold it in November 2024 to Mohari Hospitality and Omnam Investment Group for €300 million, as work continued on renovations, with Rosewood still on board to operate the hotel once it reopens. ==Services==