The fort was in operation 125 years, from 1760 to 20 March 1885, and was demolished in 1907 by order of the Puerto Rico Legislature to make room for the growing civilian population of Barrio Playa.
[6] Fuerte de San José was the defense structure which, after completion of the other two planned fortifications, would sit about halfway between the two, in Barrio Playa.
[9] However, Fuerte San José was the main fort built to defend the shores of Ponce from the frequent attacks by pirates and nations who were enemies of Spain.
The fort faced the Caribbean Sea, contained seven cannons mounted on a battery,[11] and was staffed by artillery and infantry personnel.
Fuerte de San José was located between the Caribbean Sea and the village of La Playa and just west of the port facilities.
[16] On 20 March 1885, the Spanish governor in Puerto Rico, Luis Daban, informed the Spanish military commander in Ponce he had decided to withdraw the military located at the fort on a permanent basis and ordered the transfer of any pieces of artillery and ammunition stored there to San Juan, effectively decommissioning Fuerte de San José as a fortress.
[17] During the next few years, and as it deteriorated for lack of repair, it received some use by the local Ponce municipal guard that served Barrio Playa.
The location of the battery at El Peñoncillo is today (2019) the entrance to the dike-supported roadway that leads from mainland Puerto Rico to Club Náutico de Ponce on Isla Gatas, and the location for the third battery that was never built is today the protected area of Reserva Natural Punta Cucharas.