It is situated at an altitude of 1,425 metres on Kalka- Shimla highway. When late Maharaja Bhupinder Singh, the ruler of Patiala State was expelled from Shimla. Maharaja Bhupinder Singh built his first palace at Kandaghat known as "Chail View Palace", which is presently housing the Government Polytechnic College for Women. Later in the pre-independence days Kandaghat was called "Kohistan District", it was the seat of the Deputy Commissioner and was also the "Summer Capital" of the Princely State of Patiala. After independence it was called "Pepsu".