A palace at the site was begun by Paolo di Sangro, duke of Torremaggiore in the 16th century as his family residence.
Giovan Francesco Paolo di Sangro, 1st Prince of San Severo, began building a family burial chapel in the palace grounds - it was completed in 1613 by his son Alessandro, patriarch of Alexandria and archbishop of Benevento.
Paolo de Sangro, 2nd Prince of San Severo, rebuilt the palace, especially the facade, with designs by Bartolomeo Picchiatti and with a portal entryway sculpted by Vitale Finelli.
The atrium has anthropomorphic sculptural decorations attributed to Giuseppe Sammartino and Francesco Celebrano.
The palace was once decorated with frescos by Belisario Corenzio, destroyed during the collapse of the hall.