Rajwada is the historical palace of the Holkars. It was built about two centuries ago and is located near the Chhatris in the main square. It is a seven storied structure, which serves as the living example of the grandeur of the Holkars. Rajwada stands in the center of the city. The new palace is on the northern side, while the old palace stands in the old part of the town. The old palace is a multi-storied building which also serves as a gateway of the Rajwada. It stands amongst the crowded streets of the Kajuri Bazar and faces the main square of the city.
The palace was once the centre of all the trading activities in the city. It is a blend of Maratha, Mughal and French style of architecture. The entrance of the palace has a lofty archway with a giant wooden door which is covered with iron studs. The gopura-like monument is made up of wood and stone. It has a number of balconies windows and corridors. The entrance leads to a huge courtyard, which is surrounded by galleried rooms and the arcaded Ganesha hall, which was once the venue of all state and religious functions. This hall is now used for art exhibitions and classical music concerts.
Rajwada has been burnt three times in history. The last fire broke out in 1984 and caused the maximum destruction. The lower three floors are made up of stone, while the top floors are made of wood. This made it very vulnerable to destruction by fire. Now, only the front part of the original structure remains. The palace has recently been renovated, which has managed to bring back the old glory to some extent. In the rear part of the palace, a beautiful garden has been created. It contains fountains, an artificial waterfall and some magnificent pieces of 11th century sculpture.