This work gives an overview of the history of Pula during Austro-Hungarian Monarchy. With the help of the available literature this work presents the development, history, economy, demographical changes, and urban development of Pula in the period of the Austro-Hungarian Monarchy. The aim of the paper was to show the enormous potential of Pula which was impossible to accomplish and maintain without the help of the Roman Empire and Austro-Hungarian Monarchy. During the rule of the Venetian Republic, Pula and its surroundings declined, the city of Pula was empty, full of diseases, unhealthy air, people without any will to work and just a depressing city. With the Austro-Hungarian Monarchy coming to power the situation changes. During its 100 years of ruling, Austro-Hungary transformed Pula into a Main naval port, Pula experienced urban, economic, political and cultural flourishment. Development accelerated quickly in the middle of 19. century when Pula became a main naval port, an Arsenal was built, the population increased and there was a need to build new neighbourhoods. Officers and the upper classes of the Austro-Hungarian citizenship and military began to build luxurious houses and villas in the area of Pula, which raised culture. In addition, new societies were founded, cinemas were opened, various parties were held for all kinds of people. The Bay of Pula has been fortified, many fortifications are being built in Pula and the bay to protect this important position. Mostly importantly the diseases that plagued Pula, later even the army staying in this place for 100 years are being eradicated, sewage is being improved so it can actually function and clean water supplies are upgraded. The research shows the values of the cultural heritage from the Austro-Hungarian period and the responsibility current population must valorise this valuable cultural heritage in a responsible and sustainable way.