The initiative for its establishment was started by Kollel Hod, an organization founded by Jews from the Netherlands and Germany donating to the Jewish Quarter during the period of the Old Yishuv.

The construction of the complex enabled the community to grant apartments to poor families for a period of three years for free or for a controlled fee.

[2] At the end of the 19th century, housing prices rose in Israel, and many Jewish families found themselves unable to pay full rent to their landlords, leaving them homeless.

[3] Funding for the construction of the building was obtained by various Meshulach, including: Moses Sachs, Chaim Tzvi Schneerson, and Azriel Zelig Hausdorf, who were sent over the diaspora to collect donations from Jews living in various countries, even as far away as Australia.

[4] Each apartment (numbered with an engraved lintel in Hebrew letters) consisted of two rooms and a kitchen, and in the center of the paved communal courtyard were large cisterns.

David Yellin wrote on the subject, saying:And when it is time to divide the houses among the poor Torah scholars in Jerusalem, the descendants of Hungary will jump to the top of the list, and the Germanic Jews will follow.

It is true that the population of Hungarian Jews is lacking in this demographic... and among the children of Germany there are no poor, and in the many iniquities, even wealthy Torah scholars [are not found] among them, but finally here the origin of the money was in the homelands of these two kollels, well they decided... to divide the right to reside in these dwellings into 3 parts, 1/3 for the Hungarians, 1/3 for the Germanics, and 1/3 for the Kelal Yisrael and their poor in the lands of Hungary or Ashkenaz, who were not born into holiness and purity, including those of Israel: the Ashkenazim and Sephardim and the Westerners and the Yemenites and all the Jewish communities to his countries of exile.

The deceased were transferred on 4 August 1967 to a mass grave on the Mount of Olives, where they received a military burial and official tombstones.

In his will in 1879, a considerable sum of money was allocated for the construction of a synagogue in the Batei Mahse, and a similar donation was made by him, bequeathing his personal Torah scrolls and library.

Eiseman's wife and sons initially objected to the will, and only after a long back-and-forth did they agree to transfer the funds for their intended purpose.

In 2001, the company sold the building to the "Ner LaRachel & Construction" association, which manages the Yeshivat Aderet Eliyahu, founded by Rabbi Yizhak Shlomo Zilberman.