In 1960, the city demolished the Hotel Orijent, with the intent of constructing a trade union hall on the site.

The city then decided to subdivide the land and grant usage of the site to several organizations and businesses, including a local hospitality enterprise by the name of Srbija-Turist, which repurposed the unfinished building, completed construction, and opened the Ambasador Hotel in 1968.

[1] In its heyday, the hotel hosted numerous local and international celebrities and politicians, including Former President of the Socialist Federal Republic of Yugoslavia Josip Broz Tito, and actors Elizabeth Taylor and Richard Burton when they attended the 1973 Niš Film Festival to present the film Battle of Sutjeska, in which Burton played a younger Broz.

Ownership of the hotel changed hands in the early 21st century and was closed in 2013, after 45 consecutive years in business.

[2] In 2016, the hotel was acquired at auction by My Place Group for approximately 850,000 EUR, subsequently renovated, and reopened in 2019.