Wu Garden was built around 1828 when salt magnate Wu Shangxin bought the garden of He Bin (何斌), an interpreter during the era of Dutch rule who played a role in the fall of Fort Zeelandia. At the time, it was also called "lâu-á lāi (樓仔內)"[1]. Alluding to the wealth of the Wu family, there was a local saying "Even if you have the wealth of lâu-á lāi, you don't own the estate of lâu-á lāi ; even if you own the estate of lâu-á lāi, you don't have the wealth of lâu-á lāi 「有樓仔內的富,也無樓仔內的厝;有樓仔內的厝,也無樓仔內的富」".[1]
During Japanese rule, when the fortunes of the Wu family began to decline, the garden was confiscated by Tainan Prefecture (臺南廳)[2]. In 1911, the Former Tainan Assembly Hall was constructed along the Garden's southern edge, as well as the then-famous Four Seasons Inn (四春園旅館) on its southeastern side, the Tainan Library (臺南圖書館) (in 1920) on its northwestern corner [3], and Tainan Municipal Swimming Pool (臺南市水浴場) (in 1922) on its northern edge[4]. In 1974, the Four Seasons Inn, Tainan Library, and Tainan Municipal Bathhouse were sold to Far East Department Store, and now is the location of its Park Branch store[4].
In 1994, there was a proposal for commercial development on the garden's grounds, but the plans were dropped and the garden has been preserved to this day[2].