It was built at the end of the 17th and beginning of the 18th century on top of an earlier building. The house is associated with a mill and a forge.
The building, a huge cubic block built in masonry and ashlar, preserves the coat of arms of the Ansotegui family on its façade, which is believed to come from Andrés Ansotegui, a knight of the Order of Calatrava (the order whose cross appears on the coat of arms).
The mill and forge are located next to the Ansotegui palace and once formed part, together with the dam and the forge, of the palace complex. Nowadays, after being refurbished, it has been converted into a rural hotel, but retaining many of the structural elements of its origins as a forge and river mill. The latter still conserves the installations used for milling.