The Residence of Princess Ljubica is one of a few buildings which had survived from the first reign of Prince Miloš Obrenović. It was built between 1829 and 1831, in accordance with the plan designed by Hadži Nikola Živković’s and under his supervision. Hadži Nikola Živković was the Prince’s official architect. The Residence’s function had been intended as a luxurious court of the Serbian ruling dynasty, i.e. the Obrenović dynasty. However, as it was located in the immediate vicinity of the Ottoman Turks, Prince Miloš stayed there only occasionally. The Residence’s function had served its original purpose during the first reign of Prince Mihailo (1839–42), when it was used as the Prince's residence.
After the expulsion of the Obrenović dynasty from Serbia (1842), and over the next 130 years, the building had been repeatedly adapted to house various state institutions. In the 1970s, Belgrade city authorities decided to repurpose it as a museum, in accordance with its historical, artistic and heritage value. After a restoration and reconstruction in 1980, Princess Ljubica’s Residence became a part of Belgrade City Museum, while the permanent exhibition of Belgrade City Museum “The Interiors of 19th-Century Homes in Belgrade” was set up in September 1980.