The Asylum, which started in 1894, but didn't open until 1897. The grounds covered some 115 acres. Construction finished in 1902 and opened in June of that year to patients.

The hospital was taken over by the RAF in June 1940 as No.4 RAF Hospital Rauceby - a Crash and Burns Unit for the pilots in Lincolnshire. Existing patients were transferred to neighbouring institutions. RAF Cranwell's medical unit ran the hospital.

There are two grave yards, opposite the old staff houses to the rear of the hospital. Most of the stones were moved to the sides in the 1960s.

The hospital closed in 1997 and stood unused for several years. It was featured on Restoration Nation as a showcase of these types of building and what happens to them when they fall into disuse.