Since 1999 the IBZ has been at the disposal as a guest house for foreign guest academics of the Ernst-Moritz-Arndt University and the Max-Planck Institute for Plasma Physics and their families.

The cavalry captain Albert von Schulz constructed the building as a private residence in 1871. Owing to the staircase turret which gives a wonderful view over Greifswald, the town palace is also locally known as the 'Turmschulzenhaus' ('Schulz' Towerhouse').

In 1899 the house was sold to a social group of university teachers. It was later used by academic institutes of the University and then from 1962 it accommodated the kindergarten of the University. After preliminary renovation work and the vacancy of the house, it was finally possible to begin with the conversion and renovation of the palace as well as the erection of two new buildings in 1997. The first academics were then welcomed in 1999.