The name Torroella de Montgrí comes from Torroecella, which refers to the former tower that the old Torroella castle, where the Palau Lo Mirador now stands, likely had.
The current Palau Lo Mirador was built on structures of the original Torroella castle, documented as far back as the 11th century. The town grew up around the castle and the cellera, a place where food was stored, was built; the town was recognised by the Crown in 1272 and the castle underwent several modifications. It was mentioned for the first time as “Mirador” in 1385, as its strategic location (mirador means lookout) meant that provided outstanding views of the entire plain. Many monarchs have stayed here, including Jaume I the Conqueror, Pere the Great, and Joan I of Aragon, also known as the Hunter, who slept here the night before his death hunting in the forests of Foixà.