The history of the Palazzo del Capitano del Popolo dates back to 1280. Built during the decline of Countess Matilde di Canossa's reign and at the birth of the Age of Communes to house the "Capitano del Popolo", the new ruler elected to govern the city.
The Palazzo was home to a great many captains, until 1327 when, with the freedom of the Communes having ceased and the advent of the dominion of the Signorie, power passed into the hands of the Gonzaga, followed by the Visconti, Terzi and lastly the Este families.
Sigismondo d'Este, brother of Borso, was the last to live in the Palazzo as lieutenant of the city from 1463 to 1472.
At that time, the Palazzo also housed the city's tax collection offices, as well as the ducal mint: However, the building was effectively abandoned in the early 16th century, so that the City Council, concerned about the high maintenance costs, decided to rent the upper floors to the brothers Baldicelli deli Scaruffi to institute a "BONA AC CAPACE HOSTARIA" for travelers.
Since then, and all of five centuries, through lease contracts and changes in ownership, the palace has seen its management change many times, as well as its name (from OSTERIA DEL CAPPELLO ROSSO, to LOCANDA DELLA POSTA DEI CAVALLI, ALBERGO DELLA POSTA, HOTEL POSTA), without, however, changing its function as a hotel.
Over the centuries, the Palazzo has been the object of a great many restorations, so that by 1919 when acquired by Eugenio Terrachini, its original aspect no longer existed, having disappeared with the infilling of the mullioned windows and rose window, and elimination of all traces of the past under a thick layer of plaster.
Eugenio Terrachini entrusted the engineer Guido Tirelli to implement a a project for the demolition of the existing building and the construction of a new one, but the Superintendence for Architectural Heritage of Bologna, before lending its approval, required the removal of the plaster to verify the edifice's historical content.
This uncovering of the outer layer brought to light important vestiges of the ancient architecture, inducing the Superintendence to require the owner to effect a total recovery of the ancient medieval palace.
A structure from the Age of Communes was thus restored to the city of Reggio, an architectural landmark that retells the city's history over the centuries, and which would have been otherwise completely lost.
The ownership has remained the same since 1919. Following the great restoration of the 1920s, in 1986/87 another important intervention was carried out which, in addition to upgrading the building's installations, totally renewed the palace's internal spaces, restoring the ancient meeting hall and refurbishing the the exterior of the building. These works allowed the hotel to pass from a three-star to four-star establishment. Since then the ownership has also always been involved in the establishment's direct management, through the family's new generations.