The Ostankino palace-theater was built in the 1790's by order of count Nikolai Sheremetev. One of the wealthiest noblemen in Russia, a close friend of Emperor Paul I, he was a well-educated person, connoisseur of arts and musician.

In the first half of 18th century Ostankino was gradually converted from a permanent country manor to a temporary retreat with hunt, house theater and other entertainment of the period; empress Elizabeth of Russia herself paid a visit to Ostankino in 1742.

Next year, through a marriage between princess Varvara, the sole heir of Cherkassky fortunes, and Peter Sheremetev, son of field marshal Sheremetev, Ostankino passed to the Sheremetevs and remained their property until 1917.

Throughout the 18th century the Sheremetevs lived primarily in Kuskovo, and Ostankino retained its temporary entertainment atmosphere.