The palace serves as an official facility for governmental and non-governmental organizations holding various types of formal events.

It is notable for having hosted important events such as significant oil and gas contracts, international and state conferences.

[2][3] The Gulustan Palace began the process of construction in 1970 at the initiative of First Secretary Heydar Aliyev and the oversight of chief city architect Alish Lambaranski.

[8] The biggest event held in Gulustan palace was signing ceremony of the “Contract of the century” which played a huge role in structuring the Economy of Azerbaijan.

[9] In June 2020, the rebuilding of the palace took place under a commission led by Prime Minister Ali Asadov.