Originally built in 1906, the Palace Luzern has a truly grand exterior to match its stunning setting on Lake Lucerne. The charming, six-story light-yellow and stone facade is accented in balconies and carved details, and topped in red and green patinated roofs and a succession of dormer windows. The entryway features an elegant chandelier, and a black-and-white checkered marble floor. A red marble column presents a grand stairway finished with a red rug set with golden stair rods. This luxurious look extends into a spacious lobby with a grand piano and charcoal-gray armchairs set around small cafe tables. The lobby bar looks like an old-school English pub with fat green tufted armchairs and sofas, a rich wood bar, and green wallpapered walls. The Marlin restaurant is more contemporary with light wood floors, fresh white tablecloths, and square cream-colored armchairs. The hotel never seems to lose track of its style, with each common room and corner thoughtfully considered. The property also takes advantage of its lakeside view with expansive windows and outdoor terrace seating. With luxury decor and relaxation-focused amenities, this is a popular for leisure travelers, especially couples.

The Palace Luzern is situated directly along the beautiful Lucerne Lake, with only a small, tree-lined walking promenade between the hotel and the water. The hotel is well-situated, though it's a little removed from Old Town (Altstadt); it's about a 10- to 15-minute walk to Old Town and a 13-minute walk to the popular Kapellbrücke covered bridge (Chapel Bridge) and Lion Monument. The KKL—Culture and Congress Center and the Sammlung Rosengart, a museum of 19th- and 20th-century art known for its Picasso collection, are each an 18-minute walk or four-minute drive away. It's a 16-minute walk or three-minute drive to the train station and a 50-minute drive to Zurich Airport. The hotel offers airport transfers and valet parking for an extra fee.

Most guest rooms at the Palace Luzern are individually decorated and feature sophisticated, traditional decor with wood furniture in classic, elegant shapes. Other rooms, such as the Junior Suite, have more contemporary decor, with modern table lamps, inlaid-wood headboards, and plush purple fabric accents. Rooms tend to have white walls and wall-to-wall carpeting and are understated with subdued color palettes. Bathrooms are roomy and modern, and usually include separate toilet stalls, wet-room-style showers, and separate tubs with shower nozzles. Bathrooms also include hairdryers and free individual toiletries. Even the entry-level Double Room are fairly spacious, measuring about 270 square feet, though the decor here can feel a little more dated than in upgraded rooms. Flat-screen TVs rest atop small wooden cabinets, and safes are tucked into closets. Rooms are air-conditioned with individual climate control (a boon -- even some high-end hotels in the area don't have air-conditioned rooms). Rooms are well-insulated from outside noise and have blackout drapes, though interior noise may be an issue in some rooms. Minibars are lightly stocked, but rooms have no coffee or tea facilities (though room service is available into the evening). Most rooms also have balconies with outdoor seating, and guests particularly enjoy the lake-facing view. All rooms have free Wi-Fi. 

Palace Luzern has a wide range of luxury features aimed at relaxation. A huge, chic, and modern spa offers a sauna, steam-bath, changing rooms, and an extensive range of private and shared treatment and relaxation rooms. An assortment of treatments are available, including body wraps, aromatherapy, massages, Ayurvedic treatments, manicures, and pedicures. A unique Giant Singing Bowl room features a large, vibrating meditation bowl made of solid bronze.

The hotel has several on-site eating and drinking options. The Marlin is a classy seafood restaurant serving lunch and dinner, while the stylish Les Artistes serves up an extensive breakfast buffet (though it costs an extra fee). The hotel also has a handsome, English-style lobby bar (PALACE Bar) and a cigar lounge (Davidoff Cigar Lounge). An outdoor terrace is open seasonally, serving drinks from the bar and food from Marlin, and sits directly overlooking the promenade along the lake.

A small but stylish 24-hour gym features a rich wood floor, mirrored wall, and modern cardio equipment along with exercise mats, an exercise ball, dumbbells, and a weight machine. Personal training is available. While the hotel does not have a pool, guests are allowed free access to a nearby, floating lakeside sea bath, though it isn't very large. 

The hotel has a small business center with a computer and printer.  Wi-Fi is free throughout the property, and there are 14 classy function rooms available for meetings and events for groups of up to 400 people.

The hotel has a range of high-end services including a 24-hour front desk, a concierge, and room service (with limited hours, but into the evening). Dry cleaning, laundry service, and childcare are available for an extra fee. The hotel offers an airport shuttle and valet parking, and is pet-friendly, but these cost an extra fee. While rooms are air-conditioned, common areas may not be.