During the reign of Bhagwant Daas, the city of Bhangarh was founded in 1573. Fort Bhangarh was built in 1613 by the son of Man Singh, general of the Mughal Empire.
The fortress and the city of Bhangarh are believed to have been haunted for centuries. Several legends are associated with the palace. According to one story, the city was cursed by a magician who approved the construction of the city on the condition that the shadow of the palace touching the city would destroy it. Ignorant of this, Ajab singh raised the height of the palace and caused the devastation of Bhangarh. Balu Nath is said to have been buried here in a small samadhi to this day. According to another story, Tantra, who fell in love with Bhangarh's princess Ratnavati, cursed that the entire area would be destroyed.