Construction of the Imaret started in 1813 under the patronage of Mohammed Ali who was very fond of his hometown of Kavala and wanted to show it. He saw the Imaret as a center of learning and a charitable institution that would cater to the educational, religious and social needs of the Muslim population.

During the Ottoman period education was tied to religion. Until 1846 when secular education started, institutions like the Imaret were the central hubs of learning. Even after that the Kavala Imaret continued to provide religious and academic education and the school was active until 1902.

The soup kitchen was operating until 1923 and was feeding not only the students but also the poor, travelers and the general public regardless of religion. With the population exchange between Greece and Turkey after the Treaty of Lausanne the Muslim population of Kavala left and the Imaret’s original function came to an end.

From 1927 to 1960 the complex was used to host refugees from Asia Minor. In 1954 the Imaret and the adjacent House of Mohammed Ali were declared protected historical monuments and Egyptian properties (Wakf) by the Greek state. Although an international cultural center was proposed it never materialized. Over the years the buildings were neglected and misused.

In 2001 through an agreement with the Egyptian government the Missirian family undertook the complete restoration of the Imaret. Restoration started in November 2001 and was completed in June 2004 according to international conservation standards. Today the Imaret has been beautifully converted into a luxury hotel and cultural space that respects its original character and gives it a new role in the life of the city.