The Hazratbal Shrine, situated on the left bank of the famous Dal lake houses the Moi-e-Muqqadas, that is, the sacred hair of the prophet Mohammad. The shirne is known by many names including Hazrathbal , Assar-e-Sharief, Madinat-us-Sani and Dargah Sharief.

Sadiq Khan, laid out a garden here and constructed a palacial building, Ishrat Mahal or Pleasure House, in 1623. The construction of the present marble structure was started by the Muslim Aquaf trust headed by Sheikh Mohammad Abdullah in 1968 and completed in 1979. The Moi-e-Muqqadas is displayed on various occasions related with the life of the prophet and his four holy companions.