The city was founded by the Catholic Monarchs in 1491. The layout of the town is still military. Its old town has been declared Property of Cultural Interest.
Santa Fe is a town situated 11 kilometres from Granada, right in the middle of the Granada plain. The town came into being in the 15th century by order of the Catholic Monarchs. At that time it enjoyed special privileges and became one of the most important towns in Spain. The walled area was in the centre of the town, and the four gates have been preserved. The parish church of Santa Fe, situated in Plaza de Armas, was built in the 18th century by Loys de Monteagudo, the architect of San Fernando Royal Academy. The Rectory is next to the church. The Pósito building is at one side of the square, built in times of Charles III. The Neomudejar-style Town Hall building was erected in 1931, designed by Francisco Fábregas Vehil. The town is well-known because Columbus and Catholic Monarchs met to sign the Santa Fe Capitulations, on 17 April 1492. The aim was to regulate the conditions for the journey to the Indies.