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The castle, situated on the island of the river Bódva, was erected by General Jean-françois l’Huillier between 1716 and 1732, captain of the castle of Eger, to whom Ferenc Rákóczi II pledged the estate in Edelény in 1700.

Following the death of the last descendant of the builder, count Ferenc Dessewffy, in 1820, the estate became the property of the state for eleven years and then the Coburg family of German origin purchased the lordship. They can be associated with the economic development of the area, most importantly the foundation of the sugar refinery in Edelény, as the first in the country. However, the Coburgs did not live in the palace; they gave the building for rent so it started to deteriorate with time. Finally, the Hungarian state repurchased the palace, which then housed a regional court, various offices, and lodgings for officers. For a period of time, it also housed the local headquarters of the Soviet army.

By the late 1980s, the offices had been moved out of the building and the apartments were deserted so that the unattended palace dilapidated fast. In 2001, the palace was acquired by the state and not much later it was renovated in more phases from financial sources of the European Union so exhibitions and programs could have been started to be organised. Maintained by the Gyula forster national Heritage Maintenance and servicing centre, the palace island in Edelény awaits its visitors with cultural and touristic sights and activities.