This palace is in fact a row of several large waterfront houses, joined to form a single compound. It is now home to the Centre des Arts et de la Culture, which hosts some excellent art and photographic exhibitions as well as performing arts, but just as much pleasure can be had simply by exploring such a grand, Ottoman-period mansion.
The main building was begun in 1750 and completed around 1798 by the Dey Mustapha Pacha, who used it as one of his residences. The French military occupied it for a while, after which it served as the American consulate, a school and a library before becoming the most successful restoration project in the city.