Itoya Ryokan was established in 1888 by Ito Shuzo to accommodate government officials in Yugawara Onsen, a burgeoning hot spring destination. While the main building was constructed in 1926, and the Oku Building was built as early as 1888, the site itself can be traced further back due to the stone walls and gates. Political and cultural figures frequented the ryokan, writing some of their works there, basing them, or dedicating them to the ryokan.

The ryokan was directly involved in one of the more recent important events in Japanese history, the February 26 Incident of 1936. Count Nobuaki Makino, a former Minister of the Interior, was staying at the ryokan at the time, only for the ryokan to also be visited by Army Air Captain Hisashi Kono, who was staying at the main building and encountered the Count. Captain Kono returned with his troops and attacked the ryokan, hunting for the Count. One of the ryokan’s buildings was burned down, but the Count managed to escape with the help of his maid. The room in the main building where Captain Kono had previously stayed is still used today and has kept many of its features and amenities during that time.

With its reputation, the ryokan's two buildings, the main building, and the Oku Building, as well as its even older gate and stone walls, would be designated and recognized as Tangible Cultural Properties of Japan in April 2024.

Itoya Ryokan comprises three main buildings and a more recent annex. While the remaining two buildings are rather conventional and modern in design, the stone walls and gate are surprisingly the oldest parts of the property, made out of white granite and also mixed stones and capstones from Honkomatsu. These have resulted in a rounded and gentle appearance, and have been found on images predating even the main buildings, suggesting that the walls and gate are older than even the Taisho or Meiji periods.

The current main building, a two-story tower-style structure from 1926, features a hip-and-gable roof with tile roofing and cypress columns. The Oku Building, built as far back as 1888, spans two floors with a main room showcasing a flat study and storage spaces. Like the main building, it also features a hip-and-gable roof with tile roofing, lattice glass shoji doors with glass transoms, and cypress columns with tangodo surfaces. Other parts of the building are earthen or have plum, bamboo, and pine decorative carvings.

As for the regular rooms, the ryokan offers well-furnished accommodations that nonetheless contain modernized elements of Japanese architecture, tatami mats, shoji doors, and minimalist decor alongside air conditioning, refrigerators, and modern toilets. Some rooms even allow for Western-style beds and seating arrangements.

The dining experience at the Itoya Ryokan offers visitors a wide range of dishes in kaiseki style. Breakfast is served at 8:00 or 8:30 AM, while dinner is served at ### 6:00 or 6:30 PM. Visitors also have the choice of enjoying their meals from the comfort of their rooms, the private dining room known as the Wakana Shu, or the semi-private dining room Tenma.

Breakfast meals are traditional Japanese dishes featuring local ingredients and steaming hot fish. Dinner largely features 10 various dishes of mountain and sea delicacies, including seasonal vegetables, shrimp, and fish that change monthly. The ryokan offers a wide list of specialty dishes for those with specific tastes, such as wagyu beef, Manazuru’s special yellowtail tataki, three kinds of prawn dishes, and five kinds of sashimi dishes.

Those planning to make dinner or breakfast reservations, as well as have certain meal choices or preferences in mind, should also let the ryokan know during the reservation process or at least two days in advance of their stay for preparation purposes.

Itoya Ryokan offers hot spring baths, both private and shared, with mineral-rich waters sourced from local natural springs for relaxation. The open-air baths are open to all guests for 30 minutes per bathing session, with no reservations required. Segregated baths for both men and women are also available. The tree-lined garden is ideal for quiet reflection and enjoyment of scenic views of the outdoors.

For those exploring the surrounding area of Yugawara, among the other locales that visitors can visit are the Yugawara Municipal Museum, alternatively known as the Yugawara Art Museum. A short walk away from the ryokan, across Chitose River, the museum features a wide variety of artworks made by artists who once had their studios in Yugawara. Another area visitors can explore is Gosho Shrine, built more than a millennium ago and is known today for its 850-year-old, 36-meter-high sacred tree.