The hotel was built in 1974 and opened in 1976. It was the top hotel on the square in the 1970s and there are many anecdotes from the Stadtkrug. Especially during the time of the iron curtain, the proximity to the Czech border and the nearby US military training area brought an illustrious circle of guests to the hotel, from whom stories of the good old days still reach us to this day. Nightly city council meetings often ended at the "Stadtkrug Bar".