The castle was founded at some time after 1200 and it is first mentioned in records in 1223. Its original German name was Alt Kiensberg. The Blessed Hroznata, the founder of the Teplá Monastery, was allegedly imprisoned here. It was built by the Lords of Kiensberg, ministeriales subject to the palatinate in Cheb. In the late 14th century, its owners included the Pflugs, later e.g. the town of Cheb, the Lords of Týn who rebuilt it into a Renaissance chateau. From 1608, it was in the possession of the Schönfeld family and destroyed by the Swedes in 1648. The chateau ended in the possession of the Jesuit Order who were succeeded by the Nonner family. The Nonners rebuilt Starý Hrozňatov into its present-day appearance in the second half of the 19th century.
A massive cylindrical bergfrit distinguished by serpentine bond masonry work (opus spicatum) has been preserved from the medieval castle. Cellars with a cylindrical vault are remains of the tower palace, which was known as the Shnilá věž (Rotten Tower) and which had stood in the rear part of the castle grounds. Visitors may still find the two-storey pseudo-Renaissance chateau with an "L" shaped floor plan and a stair tower with a double-sloping roof and a gable. The castle and chateau are accessible over a well-preserved collum moat with a wooden bridge. A large hall with a smooth ceiling and an Empire stove may be found on the first floor of the chateau.