The Alcázar de Colón is the 16th-century palace that Diego Columbus, son of Christopher, built on a bluff above the Ozama River. It served as the seat of Spanish colonial rule over the Americas for much of the 16th century and has been restored and converted into a museum displaying period furniture, tapestries, and artwork. The restoration is thorough enough to give a genuine sense of colonial-era domestic life at the very top of the social order.
The palace occupies one end of the Plaza de la Hispanidad (also called the Plaza España), a large open square that is one of the more pleasant places to sit in the Zona Colonial in the evening when craft stalls set up and restaurants open their terraces.