The Gold Coast neighborhood grew in the wake of the Great Chicago Fire. In 1882, millionaire Potter Palmer moved to the area from the Prairie Avenue neighborhood on the city's south side. He filled in a swampy area which later became Lake Shore Drive, and built the Palmer Mansion, a forty-two room castle-like structure designed by Henry Ives Cobb and Charles Sumner Frost. Other wealthy Chicagoans followed Potter into the neighborhood, which became one of the richest in Chicago.

In the late 1980s, the Gold Coast and neighboring Streeterville comprised the second most-affluent neighborhood in the United States, behind Manhattan's Upper East Side.[2] Today, the neighborhood is a mixture of mansions, row houses, and high-rise apartments. Highlights include the Astor Street District and the James Charnley House.