The Grand New Hotel construction works began in 1959 on a hill overlooking Nazareth, Mount Tabor and Jazreel Valley.
When the hotel was officially opened in June 1961, it consisted of 54 rooms and was the first hotel in Nazareth that was planned with modern solutions that could offer a comfortable accommodation to the Christians who came on pilgrimage to the Holy Land.
It was built on the land owned by Mr. RajaTabar who directed the hotel until 1975. In 1978 a new wing with 38 rooms has been built and the hall and reception area and the restaurant were widened.
In 1988 the reception hall and the kitchen have been further expanded and enlarged to accommodate up to 600 people, and to provide meals to hotel guests and to the growing number of groups visiting Nazareth.
In the following years ordinary maintenance work and improvements were carried out to provide a better comfort to the pilgrims.
Since 2005 the hotel Director is Mr. Wisam Tabar, Mr. Raja nephew, and third generation of the family.
The hotel was completely restored in 2010.