Constructed at a major point of economic activity of the Ottoman Empire's rule in Damascus, governor As'ad Pasha al-Azem oversaw the project which was completed in 1752 and served as a guesthouse, commerce center, and storage facility for merchants traveling through the city. The structure follows the typical layout of a khan or caravanserai and was situated in the heart of the historic trading center along the Suq al-Buzuriyyah. The first floor consists of a courtyard populated with shops and was dedicated to commerce and storage while people mainly used the second floor for lodging. By the twentieth century the Khan As'ad Pasha no longer functioned as a haven for traveling merchants and in 1980, the Department of Museums and Antiquities used it as a manufacture and storage space. Restoration continues on the khan including restoring the domes which had been damaged in an earthquake, reinforcing the supporting piers, and restoring interior finishes and decor.