Originally built in 1907, by Victor Bredt, the house was first opened as the Bredt Hotel offering lodging and meals "to country customers for 25 cents”.
Bredt sold the hotel to Luther Mitchell and Gertrude Anna Ryan Wallace, who had traveled from a plantation in Virginia and settled in Marble Falls. Their business as inn keepers thrived in the small but bustling town.
After the death of Gertrude, the hotel operation ended and with other siblings moving to California, the building became the home and private residence of their youngest child Margaret Wallace.
In 1976 Judge Ed Yturri and his wife Dottie bought the house and its entire contents of antiques. His plans were to transform the old house into and artist’s co-op or perhaps the first library thrift store. Instead it became the Wallace house.
In the early 80’s the Brown family purchased the home and turned the 13 room, 2 bath structure into a five unit apt. building. Later, the Davidson’s bought the property and continued to make improvements and continued to rent the apartments. The wood floors have all been restored to their original beauty.
In 1998 Phil and Rebecca Gatton bought the Wallace house and ran it as apartments until 2002 when they began working on plans to update the kitchenettes and baths and bring the old house back to its original grandeur and as lodging for all those who visit Marble Falls; the gateway to the hill country.