GRANADA, one of the chief cities of Nicaragua, Central America, capital of the province of the same name, and the terminus of the Pacific railroad. It is 36 m. S.E. of Managua, the national capital, and 118 m. from Corinto, the chief Pacific port and the northern terminus of the railroad. Granada's population was in 1928 about 15,00o, and it lies at an altitude of i8o ft. above sea-level, on the shores of Lake Nicaragua where steamers and launches connect it with the lake towns. It is remarkable for the considerable number of Roman Catholic churches, schools and institutions, including the pretentious University of Central Amer ica, on the shores of the lake ; is the seat of a bishop, and as the headquarters of the Conservative party in Nicaraguan politics is closely linked with the religious interests of the country. The city itself is laid out like most Spanish towns, on a rectangular "grid-iron" style; the houses are mostly one story, but include many fine old mansions dating from colonial times; the churches are massive and some of them ornate. The city lies back from the shore of the lake, whose clustered islands near Granada (called "Los Diamantes" or "the Diamonds") are the recreational resort of the city. Granada is an important trading centre and most of the old families there are engaged in commerce. The products of the locality are cattle and hides, cacao, sugar, cotton, indigo, alcohol and coffee.
Granada was founded in 1523 by Francisco Fernandez de Cordova, early became the centre of the Conservative life and trade of the region, and from earliest times has been a keen political and trade rival of Leon (q.v.), further north, the centre of the Liberal party, and now a more populous and prosperous business rival of Granada. The present capital, Managua (q.v.) was founded between the two older cities as a political compro mise. Granada was raided by pirates from the Caribbean many times in the 17th century and in 1606 it was sacked and burned. William Walker (q.v.), the American filibuster, made Granada the centre of his attacks and his headquarters during the period when he was active in Nicaragua, and as leader of the Liberals sacked and partially burned Granada in 1855.