of the most important roles in the history of the settlement was the monastery of Saint Laurence, where the Benedictines healed rheumatic illnesses, ascites and other diseases with concentrated saltwater and saline mud. In 1210, the area was overtaken by the Patriarchy of Aquileia. In the 13th century, Pirano entered a brief war from December 1282 to January 1283, in which it was defeated by the Venetian Republic. During the second Venetian rule, it was, contrary to other towns on the Istrian peninsula, loyal to Venetian rule, and as such gained special privileges within the republic, which in turn caused the local economy to boom. In 1797, Venetian rule came to a close as the Austrian Empire took over the area for a brief period until 1806. From 1806 to 1813, the entire Istrian Peninsula became part of the Illyrian Provinces. A period of economic growth followed during the second Austrian rule, with enlargement of trade and locally important salt pans in nearby Lucija and Sečovlje. In the aftermath of the Great War, the Treaty of Rapallo determined the Istrian peninsula to be from that point on a part of the Kingdom of Italy. Under the royal and then fascist rule, the area found itself amidst economic decline and civil conflicts between the populace and the state. In World War II, the area had not seen much action, although the important industrial hub of Trieste suffered multiple bombings. In the aftermath of the war, the settlement found itself in the United Nations-administered Free Territory of Trieste. After the dissolution of the Trieste state it became a part of Yugoslavia. Economy The economy of Portorož is mainly based on tourism and the gambling industry. The facilities include a marina, numerous sporting facilities and several casinos, along with many hotels and apartment complexes. Tourism development In the second half of the 19th century, the leaders of the Pirano municipality and local doctors decided to stimulate tourism in the region, by offering health treatment by concentrated salt water and salina mud. From 1879 onward, Giovanni Lugnano was first to offer such salt treatments to various visitors. In 1885, after several years of successful start of new spa salt treatments, constructions of new treatment complexes and private villas began, and, in 1890, the predecessor of the famous Hotel Palace was built. In 1908, Orazio Pupini, a prominent Austrian doctor with a notable treatment history