Granada (pronunciation: [ɡɾaˈnaða]) is a city (123,697 ihabitants in 2012) in western Nicaragua and the capital of the Granada Department, on the shore of the largest lake in Central America. Granada is historically one of Nicaragua's most important cities, economically and politically. It has a rich colonial heritage, seen in its architecture and structure. In 1524, the location was renamed Granada, by Francisco Hernández de Córdoba, probably the first European city [how defined?] in mainland America.