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In 1399, the Republic of Dubrovnik bought the area of the Dubrovnik coast from the Bosnian king Stjepan Ostoja. At that time, the area was called Primorje, and the Republic of Dubrovnik immediately after acquiring the new territory began to organize the government on the new land, which made up a quarter of the territory of the Republic. The new country was organized into an administrative unit of the principality. In the same year 1399, a decision was made to build the Rector's Palace in Slano.

When dividing the new territory between nobles and commoners, the government left the land for the rector's house. The rector in Slano was elected for three months. His task was to consolidate and implement the rule of the Republic of Dubrovnik. The rector governed the area of the Dubrovnik Primorje, tried and determined punishments, and collected fees and taxes. According to the regulation from the same year, only a nobleman could become a rector, the rector also got his deputy viceroy, and later another viceroy. The viceroy was chosen from among the commoners. The Chancellery also operated in the Rector's Palace, which began operating in Slano in 1447. The chancellors were the rector's officials, who kept administrative books and made sure that all debts and obligations were properly recorded, just like misdemeanours and punishments.

The Rector's Palace in Slano was built in 1447, and it was built by masters who had already proven their skills in the construction of the Dubrovnik monastery. Throughout history, the Dubrovnik coastal area has suffered from various disasters - partly natural, and partly caused by human acts - so the palace itself suffered a strong earthquake in 1667 and was later burned down twice. It was burned for the first time in 1806 when the Russians and Montenegrins burned the area of Primorje. After that, the Palace was neglected for 20 years, and then it was restored. In the meantime, the independence of the Republic of Dubrovnik was also terminated, several states changed, each of which gave the court a new function, some partitions and additions. The second time the Palace was burned was in the attacks of Serbs and Montenegrins in 1991.

The Rector's Palace in Slano was completely renovated in 2017 thanks to the efforts of the Society of Friends of Dubrovnik Antiquities, which takes care of a total of 11 duke's palaces. The original function of the manor in Slano was defence-administrative - because the rector came to exercise power on the new land - but over time it changed to a residential-economic one, which changed the appearance of the manor itself and its surroundings. Today, the Rector's Palace is intended for public, cultural and social programs with the clear aim of presenting its function throughout history, as well as parts of the preserved material heritage of the Dubrovnik Primorje.

Fun fact: Bosnian King Ostoja sold Primorje to the Republic of Dubrovnik, and in return received a house in Dubrovnik worth 500 ducats, the title of honorary nobleman and a tenth of the land in the sold Primorje.