This is the oldest hotel in Texas and it was the idea of and built by cattleman Col Jesse Driskill. Whom spent his fortune on constructing the finest hotel in St Louis in 1886. In May 1887 it was closed due to most of the key staff been enticed away by another hotel, it reopened in October under new management. Unfortunately the hotel closed just a year after re opening because Jesse had lost his fortune due to cattle drought and a bitter winter and he could not afford to keep it going.

The second owner in May 1888 was Jim 'Doc' Day, the legend goes that he actually won the hotel whilst winning a game of poker. But it is unknown whether this is true.

It became a popular place for Austins high society, and mainly in its early years a popular meeting place for the states congressmen.

It had a few different owners over the years and in 1929, the hotel was extended to include a thirteen story tower. Again it continued to have different owner, and many reconstruction’s and refurbishment’s were carried out. Today it is owned by Destinations Hotels and Resorts and it remains today full of opulence.

The hotel is said to have visitors of the ghostly form as well, these include, Jesse Driskill who is said to still love his hotel and keeps coming back, his presence is known by the smell of cigar smoke, a four year old girl who was killed by falling down the stairs onto the marble floor, she accidentally fell whilst playing unattended with her ball and a ghost who is known as the Houston Bride, she was jilted at the altar and came to stay at the hotel, she ended committed suicide whilst in the bath by shooting herself in the stomach.