The Jewish noble Nathan Adam von Arnstein rented the palace, since Jews were not allowed to own property in the city.
At first there were plans for renovation, however the palace was demolished in 1952 for real estate speculation, and a modern building was erected in its place instead.
This had some effect in removing the barriers between the aristocracy, the bourgeoisie, and the Jewish citizens of Vienna.
This made Baroness Arnstein very well known and highly esteemed: even Emperor Josef II called her his friend and would pay visits.
During the Vienna Congress, the salon was a meeting-point for diplomats for informal talks, even hosting the likes of state chancellor Prince Metternich.