At the start of the game, the palace is underwater. Its ruin will emerge the more areas you de-curse.
Once the palace has been de-cursed, you'll need different materials to rebuild and upgrade it than the other buildings. You'll have to craft:
- Foundation bricks
- Marvelous bricks
- Alluring amber
Craft these items using the Sculptor's Station.
The palace is de-cursed section by section; some sections cannot be rebuilt until the previous one is finished.