History
Further information: King David Hotel bombingIn 1929, Palestine Hotels Ltd. purchased 4.5 acres (18,000 m2) on Jerusalem's Julian’s Way, today King David Street. Half the construction costs were paid by Ezra Mosseri, an affluent Egyptian Jewish banker and director of the National Bank of Egypt, and another 46% by other wealthy Cairo Jews. The approximately 4% remaining was paid by the National Bank, which purchased 693 shares of the company between 1934 and 1943.
From its earliest days, the King David Hotel hosted royalty: the dowager empress of Persia, queen mother Nazli of Egypt and King Abdullah I of Jordan stayed at the hotel, and three heads of state forced to flee their countries took up residence there: King Alfonso XIII of Spain, forced to abdicate in 1931, Emperor Haile Selassie of Ethiopia, driven out by the Italians in 1936, and King George II of Greece who set up his government in exile at the hotel after the Nazi occupation of his country in 1942. During the British Mandate, the southern wing of the hotel was turned into a British administrative and military headquarters.
On July 22, 1946, the southwestern corner of the hotel was bombed in a terrorist attack by the militant Zionist group the Irgun. 91 people died and 45 people were injured. An earlier attempt by the Irgun to attack the hotel was foiled when the Haganah learned of it and warned the British authorities.
On May 4, 1948, when the British flag was lowered, the building became a Jewish stronghold. At the end of the 1948 Arab–Israeli War, the hotel found itself overlooking "no-man’s land" on the armistice line that divided Jerusalem into Israeli and Jordanian territory. It was purchased by the Dan Hotels chain in 1958. The film Exodus was shot at the hotel in 1960. When East Jerusalem was annexed by Israel following the 1967 Six-Day War, the hotel was expanded, with two additional floors.
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