The hotel was built in 1938 by the Compañía de Hoteles Sud Sudamericanos Ltda. (Sud South American Hotel Company Ltd.)―daughter company of railway corporation BAP (Buenos Aires and Pacific Railway).― and inaugurated in December of the same year with a strong marketing campaign and the presence of a lot of personalities from around the world.[1]

It was built by the Atuel River, upon the Provincial Route 220, about 60 km northeast of El Sosneado, and at an altitude of 2180 meters.

One of the hotel's principal touristic attractions was the hot springs, with sulfur waters running down from del Overo Volcano, maintaining the pond hot and filled.[2][3]

After 1953, the luxurious facilities were abandoned, and while some janitors stayed in the hotel for a longer period of time, it was eventually left alone.[1]

Nowadays, it is an important stopover point for trips to the remains of the Uruguayan Air Force Flight 571, that lay only 21 kilometers away from the hotel.