In Spanish colonial times, the plaza was a simple open field located between the shores of Manila Bay and the Malate Church, ending at a beach which used to be a popular bathing area.

However, during American rule, the plaza was cut off from the coastline due to land reclamation works undertaken for the construction of what is now Roxas Boulevard.

[1] The plaza was last renovated in 2002, during the administration of Mayor Lito Atienza, as part of a citywide urban beautification program aimed at making Malate a prime tourist area,[2] which involved the installation of a new dancing fountain.

[3] A large signaled pedestrian crossing connects the plaza to the Baywalk, which had been criticized for worsening traffic along Roxas Boulevard.

[4] In part because of the 2002 renovations, Plaza Rajah Sulayman had been regarded as the new center of Malate nightlife, which traditionally is associated with the Remedios Circle further inland, as well as Manila's lovers' lane.