Kaltehofe is an island in the Elbe River which was created artificially between 1875 and 1879 through straightening the bed of the North Elbe and the development of the Billwerder Bay by a cut through the Elbe River. It belongs to the district Rothenburgsort, a part of the municipal borough Hamburg-Mitte. The Elbe island of Kaltehofe is bordered by the North Elbe in the south, by the Billwerder bay in the north and in the east by the timber port. Owners are the Hamburg Water Works which used the filtration plant on the Elbe island Kaltehofe - consisting of 22 water basins, the slide valve houses, an office building and a pump house - for water supply since 1893.

In 1990 the water works Kaltehofe were taken out of service. For about 20 years the entire Elbe island remained largely inaccessible to the public. Now an attractive recreational area has emerged in the middle of Hamburg which - in continual harmony with nature - reflects the cultural history of the industrial landmark in a contemporary and atmospheric way. The refurbished old mansion as well as the many slide valve houses transport lovers of architecture to the end of the 19th Century. The newly constructed building - created by Andrew Heller Architects & Designers - its façade giving the impression of with running water- is in turn a modern piece of architecture. Here the virtual water art museum can be found. The villa houses exhibition space, meeting rooms, the museum shop and the café.