The story of Chail as it stands today really begins in neighboring Shimla. The tale is told of the banishment of the Mahara of patiala from the erstwhile summer capital in the late 19^th century. Smarting at this insult, the Maharaja began exploring the hills that bordered Shimla with a single factor to guide him. He planned to find a hill that was within sight of Shimla but higher Surrounded by deodar woods the little village of Chail seemed perfect. Shimla lay in direct vision and most important, Chail’s altitude was above the British controlled town. And then large tracts of the land already belonged to him.

Completed in 1891 , with a splendid mansion to serve as his palaces, and at 2226m a good hundred metres above Shimla’s average height, Patiala’s summer capital’was prepared to take on the british one at equal terms. In 1972, the property set in about seventy five acres of landincluding peripheral cottages woods sport and recreation facilities and even an orchard passed into the hands of Himachal Tourism This is now the Palace hotel and this has the distinction of being on the earliest hotel resorts in the country.

The Chail wildlife sanctuary was once the private hunting reserve of the Maharajas of patiala. In 1976 this was notified as a sanctuary. With altitudes ranging between 710m to 2180 this has an area of approximately 11, 000 hectares and includes the town of Chail and several surrounding villages.

Several easy walks can be done in and around chail. Fishing is possible on the Giri river at Gaura . There are several trek routes that lead out of the resort including the one to the Choor Chandni mountain which is visible from Chail.