Hanako's Palace was built in YE 32 on the property of Chateau Hanako where it sits atop a hill, surrounded by a circle of gardens, overlooking the vineyards. The palace is built in the shape of the letter “H” and is three stories tall and built of gray stone with rows of white-framed arched windows and steeply-angled black roof. The front entrance is on the South side.

The palace interior is divided into a main hall and four wings (two on each side). The main hall is three stories tall. The wings have two-story lower levels and private rooms on the third floor. The walls of the palace are covered in polished inlaid wood paneling and lighting is provided by gold or silver wall sconce lights and large chandeliers.

The main hall contains a giant dining table and is lined with hyper-realistic polished gold statues of Ketsurui Clan members in the nude.

Hanako's Wing - The Northwest wing of the palace contains Hanako's private chambers. On the main level, the blue and white marble floor is covered in thick white fur carpets and the walls are lined with wide dark blue leather couches. A very large bed sits at the back of the bedroom/living area. A secret passage near the bed leads down into a hidden H Bunker. Behind the bed is a bathroom section containing a large heated bath pool. In the upstairs rooms are high-powered computer equipment and offices.

Ketsurui Wing - The Northeast wing of the palace is mostly identical to the palace's Northwest Wing save for the colors. It features brown fur carpets on a red-and-white marble floor and red leather furniture. A barracks for Ketsurui Samurai is overhead, but is currently unused. This is a guest area for visitors like Ketsurui Yui and is also rented out for weddings.

The southeast wing contains a massive library of custom-made leather-bound books. At the back of the room is the actual printing and bookbinding shop, which is staffed by a librarian. Books are printed on demand and the collection is kept up-to-date. This is probably one of the best private libraries in the Yamatai Star Empire.

The southeast wing was formerly the home of Hanako Military Museum. The museum, however, was moved to a larger location in the Shinjuku Market District in YE 37. As of YE 40 this section is used for events such as weddings.