The town's modern history began in 1844, when Iginio Scarpa (1794–1866), a wealthy merchant from Rijeka, had the Villa Angiolina manor built in an extended park, where he received notable guests such as Ban Josip Jelačić. In 1873 the Austrian Southern Railway company from Vienna opened the branch line from Pivka to Rijeka via nearby Matulji and thus opened the path for the development of tourism in Opatija and neighbouring Lovran. In 1882, the railway company purchased the Villa Angiolina, where it accommodated the crown prince couple Rudolf and Stéphanie. At the time, Friedrich Julius Schüler (1832–1894), the Managing Director of the Southern Railways, started the construction of the "Hotel Quarnero" (Kvarner Hotel) and the "Hotel Kronprinzessin Stephanie" (present-day Hotel Imperial), and also was responsible for the unique lungomare and parks (the Company engaged Carl Schubert, director of the Viennese Emperial-Royal Society for the construction of parks). The Villa Angiolina was later run by the Compagnie Internationale des Wagons-Lits. In the Angiolina Park today stands Schüler's bust, a work of the sculptor Hans Rathausky.