Granada was founded in 1524 by the conquistador Francisco Hernández de Córdoba, making it the oldest colonial city in the Americas. The city was marked by conflict from the start, as the Spanish fought amongst themselves for control of the region's gold. Córdoba himself was ultimately beheaded by his rival Pedrarias Dávila.
Once these internal struggles had died down with the establishment of the Viceroyalty of New Spain, Granada began to grow rich as a trading center. It thus became a tempting target for pirates, who sacked the city repeatedly during the 17th and 18th centuries.
After Nicaragua's independence in 1838, politically conservative Granada began feuding with liberal Leon for control of the country. Leon contracted an American adventurer named William Walker to help them in this struggle. The filibuster conquered Granada but, rather than turning control over to the Leonese, promptly declared himself President of the country. A true believer in manifest destiny, Walker reintroduced slavery and publicly announced his intention to conquer all of Latin America. Naturally this kind of rhetoric did not endear him to the neighboring Costa Ricans, who sent him packing with an invasion the following year. Ever spiteful, Walker had the historic city torched before he left, destroying much of the beautiful architecture. He left behind a now infamous placard saying: “Here was Granada.” As an aside, the troublesome Mr. Walker finally met his end at the hands of a Honduran firing squad after attempting to invade that country as well.
After this episode, the city of Granada devoted itself to rebuilding its heritage, largely abstaining from the violent civil wars that followed in the 20th century. Today the city is proud of its colonial legacy and architecture. The Leonese have been forgiven, though the name of William Walker still provokes vitriol.