In 1983, the Observatory was initiated to build by 2 gentlemen, Mr. Qiu Ade, who is the chairman of Shengheng Palace and Mr. Fu Guifa of public spirit. Through accumulating the religious donation money in Shengheng Palace, they return to society for public welfare. The pilgrims come to Shengheng Palace to pay homage,and after praying for blessings, it is suggested that everyone should do more outdoor exercises, get close to nature, and absorb fresh air and phytoncide, which are very helpful to their health. It is worth mentioning that the base of the Observatory was donated by Mr. Qiu Ade, and all of them are very touched for the warm-hearted efforts of both.
In the beginning, it was built with wood and led by Mr. Xu Guihuo, a local warm-hearted young man, after completion, so many people climbed up to appreciate the natural beauties, and visually enjoyed the gorgeous scene. After two years, the wood decayed, for the safety, the 2 gentlemen of Shengheng Palace have initiated to reconstruct with reinforced concrete.
Mr. Xu Cangming, a member of this Palace, designed the drawings for free, invited the aborigines to construct, and the members were responsible for supervising the construction. The construction quality was very good, got over the impact of the “921” earthquake. After the completion of the Observatory, it held the antithetical couplet competition and winners were engraved on the pillars for commemoration. Their descendants come here every year to watch the poems written by their ancestors, which had great historical commemorative value, such as [Observing wide sea and sky, Tiger Mountain, seeing tide and giant ship; looking over bright mountain and water, Carp Pond, reflecting and knowing Guandao Mountain], [Drilling clouds and mountains to appreciate the great lakes becoming the sea; and opening the threshold to welcome high-level officials to the high platform].

The base is located at the highest junction area among 3 townships, such as Dahu , Sanyi and Tongluo, with an altitude of 838 meters and a 360-degree view. Eighteen townships in Miaoli, Taichung, Dongshi District, Xinshe District, Dajia District, Qingshui District, Shalu and Taichung Port are been had a panoramic view. Every floor is guarded by immortals to welcome visitors, to bless them with a safe journey and to feel warm. On the top floor, the natural cool breeze blows slowly, which can relax and relieve the pressure, enjoy the beautiful scenery, and make people intoxicated.