This is the building where the highest government officer of the city ,"vali", has an office.
If you follow the road up to the hill, it will take you to Topyatagi, where military garrison of the city resides. It has beatiful view of the city from above. There's also ruins of RomanTimes aquaduct called UcGozler, in Topyatagi. The ancient town of Tralles was in the hill area, where weather is cooler, and the city is easier to defend.
The old Greek neighboorhood is also in this area.