Biyun Temple (Temple of Azure Cloud), first built in the 2^nd year (1331) of Zhishun's Reign of Emperor Ming in the Yuan Dynasty and first named as Biyun Nunnery, lies at the southern foot of the Fragrance Hill in the west suburb of Beijing. Reportedly, it was transformed from the residential buildings of the descendents of Yelü Chutsai, the founding father of the Yuan Dynasty.

During Zhengde's Reign in the Ming Dynasty, Yu Jing, a eunuch of the Imperial Stable took a fancy to this place and thought it as land with good geomantic omen. He expanded Biyun Temple by his ill-gotten wealth and constructed his grave behind the temple. He was put into and died in prison due to his greed. During the Reign of Tianqi in the Ming Dynasty, the eunuch Wei Zhongxian fancied this place and expanded the Biyun Temple again. He enlarged the original grave by Yu Jing and intended to use it as his own grave, but five years later, he was found guilty and died in his boots. The grave was then devastated.

After the two expansions, the Biyun Temple featuring the architectural style of the Ming Dynasty took its shape. Thereafter, massive reconstruction started in the Qing Dynasty, thus leading to today's Biyun Temple.