Islamnagar was a Rajput town, called Jagdishpur until taken by an Afgan (Dost Mohammad Khan) in 1715. He founded the Bhopal State with Islamnagar as its capital. Fortifications were built within them are a palace, gardens and a charming village. Islamnagar is 11 km away on the Bhopal- Berasia road.
Islamnagar was the palace of Bhopal's Afghan rulers and was built by Dost Mohammed Khan. Formal gardens surround the palace and the pavilion. The latter a synthesis of Hindu and Islamic decorative art, has columns lavishly embellished with floral motifs. Other monuments to see are the Hamam of the Chaman Mahal and the double-storied Rani Mahal.