Izmir’s Ashkenazi population got pretty crowded by the 19th century. They became in demand of establishing their autonomous community functions, due to some differences with the Sephardim in religious rituals. Seen as an attempt which will reduce the income of the congregation, this was rejected by the Rabbinate of Izmir.An Austrian originated Ashkenazi Jew, owner of a famous hotel in town, tried to found a synagogue but shortly failed. This intricate issue was solved in 1901, when permission was given to site an Ashkenaz synagogue. Not long after, the place was destroyed by a fire. Despite the repair, the management had to struggle with financial impossibilities. As a result of mutual charity acts, they were given a separate space within the front garden of the Sephardic Shalom Synagogue.The Ashkenaz Synagogue was abandoned by the beginning of 20th century as the community diminished. The building was transformed into shops.