This khan was built during the 16th century by Semiz Ali Pasha, the grand vizier of Suleiman the Magnificent.
This structure initially known as “Ali Pasha Caravanserai, or Khan” was used for the sheltering and resting of the carriages or camels of the Muslim merchants. Later on, it was converted into a traditional khan, where, in general, cereals were stored and sold, and it now was called “Galle Pazar Han” (“Galle” Market Khan), “Yeni Galle Pazar Han” (“New Galle” Market Khan), or “Yeni Tahıl Han” (“New Cereals” Khan).
In a document called “Tezkiretu’l-Ebniye”, which includes historical buildings built by architect Mimar Sinan, “Galle” Khan is described as “Ali Pasha Caravanserai”. It is documented that this structure is the only one built in Bursa either by architect Mimar Sinan or by one of his helpers’ sent under his supervision.
As a part of the historical trade centre, this structure is assumed to be a typical two-floor khan of the classic Ottoman era, with its patio with two entrances, and being surrounded with riwaqs.
This structure was renovated in different ways in 1690, 1844, 1960, and in 1977, respectively.