The construction of this palace began with a temple named "Tongshan Temple" which was originally located in the area of "Baizai Gang" and dedicated to the worship of Guanyin Bodhisattva. In 1928, a local devotee, Huang Ah-hai, due to the practice of calligraphy and扶鸞訓乩, added three more deities to the temple: Guan Sheng Di Jun, Fu You Di Jun, and Si Ming Zhen Jun. Huang Ah-hai then performed rituals and扶鷥 at the temple to help and save all living beings. As time passed, the temple gradually became a place of refuge for the local people to seek answers to their questions, and to pray for medicine when they were sick. Their requests were often granted, and many miracles were reported.
In 1935, Tongshan Temple unfortunately collapsed in a major earthquake in Taiwan. At that time, the villagers were also affected by the disaster and were busy taking care of their own families. They were worried that the deities would not have a place to reside, so they temporarily placed the statue of Guanyin in a tent made of grass and moved the three deities, Guan Sheng Di Jun, Fu You Di Jun, and Si Ming Zhen Jun, to Huang Ah-hai's private residence for worship.
From then on, the three deities permanently resided at Huang's residence. A new hall, known as the "Jishi" hall, was then built. Guan Sheng Di Jun personally named the hall "Jishi" to signify its purpose of providing salvation and helping the people, eliminating disasters, and resolving misfortunes.