Created to consolidate Copenhagen's position as an important maritime hub in Northern Europe, it was established in the area just north of the fortress Kastellet and later expanded northwards several times.
In the middle of the 19th century, Copenhagen's growth and the increasing industrialization made it clear that the city's harbour was becoming too small and in the same time old plans to create a free port were revitalized.
In a plan from 1862 it was decided to dig out the area to allow access for the largest ocean-going vessels and use the materials removed for land fills along the coast.
A suggestion to make all of Amager into a duty-free zone was abolished and instead it was decided to create a free port in the area in the Svanemølle Bay north of the fortress Kastellet.
A private limited company, Københavns Frihavns-Aktieselskab (KFA), was given a concession on operating the port by the Ministry of Interior Affairs.
Among the entries were a proposal from Jørn Utzon which included a highrise and several other buildings on Langelinie Pier but none of the submissions were realized.
The total length of the quays was approximately 4,770 metres with water depth between 7.5 m to 9.5 m. The Custom Guard Building (Danish: Toldvagten) was built in 1894 to designs by Erik Schiødt.
[3] Dahlerup also designed many other buildings in the original free port, including warehouses, guardhouses, quays and the fence which surrounded the area.
Another warehouse on Middle pier, which for decades was a prominent landmark in the Free Port area, was demolished after a fire in 1968.