The fez factory was established in 1835 by Ottoman Sultan Mahmud II (1808-39) to produce headwear for his new army, which he established after the abolishment of the traditional janissary corps in 1826. It is one of the oldest industrial establishments of the empire. In addition to the fez, the factory produced a variety of fabrics and rugs. In 1925, the factory was handed over to Sümerbank and renamed Defterdar Mensucat Fabrikasi, or the Defterdar Textile Factory. It was rebuilt after a fire in 1941. In 1986, the factory was demolished except for its large weaving hall in a broad campaign to clean-up the banks of the Golden Horn from industrial establishments. The weaving hall was restored by a private organization in 1992 and re-appropriated by the Greater Istanbul Municipality in 1998 for conversion into a multi-cultural center, with the addition of new structures around it.