Bendigo was called Sandhurst, after the famous British military academy, until the gold mining town's name was changed in 1891.

It was designed by noted architect Charles Webb who briefly abandoned hs architectural career in Melbourne in 1851 to become a miner on the newly established gold diggings near Bendigo.

The first floor contained offices of sharebrokers who handled the speculative financing of mining ventures in the Bendigo district.

Also preserved is the central pitched glass roof and ornamental ironwork, broadly comparable with Charles Webb's treatment of the Royal Arcade in Melbourne.

In 1999, the City of Greater Bendigo purchased the building at auction with the assistance of the Victoria State Government for the sum of $3.36 million.

In May 2016, it was reported that the building's ground floor would be open by the end of year and will contain a number of retail shops.