The Town Loggia, as we know it today, was built in this place in 1509 on a small square, which was situated on the intersection of the Srednja ulica (the Central Street) and the main transversal street. Trg slobode (the Square of Liberty) or Pjaceta (the name derives from the Italian word "piazzetta", the small square) was created in the same way. at the end of the latter street, inheriting content wise and topically, the ancient Roman structural basis.

The square was known as Platea Gospi (the Dais to Our Lady) and along with the Church of St. Nikola (Nicholas) was the place of citizens' public assemblies. This, of course, continued under the portico of the Town Loggia until recently.

The Church of St. Nicholas, originally the Church of the Holy Spirit, was built in the medieval age using late-Romanesque forms, which was confirmed by the recently discovered semicircular apse that was subsequently demolished. It changed its proprietor after it became the centre of the brotherhood of the seamen of Rab. A town fontik, a peculiar institution of that time, was next to it.

Opposite to Town Loggia, on the northern side of the small square, lies the town clock tower. It assumed its present shape after the restoration in the 18th century. It had already been built in the medieval age, which is indicated by walled-in double windows under the gable of the distaff with a very old bell cast by master Nikola in 1351. The ground floor is opened with the overarched passage, which leads towards the square, containing the Prince's Court (Knežev dvor). In the thirties a family mansion was built in the place of a characteristic medieval house on the eastern side of the square with inappropriate materials and forms ruining its measure and harmony considerably. The fagade of the street on the western side is formed by the buildings of the palace Cernotta whose main corpus was restored and then demolished along with the picturesque courtyard with porches. Juraj Dimitrov, an architect from Zadar built it during the 15th century and the sculptor Andrija Aleši carved the late-Gothic portal with the family coat of arms in the lunette in 1456.