Adelaide Cottage, a four-bedroom Grade II listed property located in Windsor Home Park, was established in 1831 for Queen Adelaide, after whom it is named. Queen Victoria also favored this home, often enjoying tea and breakfast there. However, one of its former residents, Group Captain Peter Townsend, became embroiled in one of the monarchy's most significant scandals during the reign of the late Queen Elizabeth II.

Townsend resided at Adelaide Cottage as a grace-and-favor tenant while serving the royal family. Previously a successful RAF officer, he is best remembered for his passionate yet clandestine affair with Princess Margaret, the younger sister of Queen Elizabeth II. Townsend was 16 years older than Margaret and lived at the cottage with his first wife, Rosemary, and their two sons during the 1940s. After Peter and Rosemary divorced in 1952, their relationship became public the following year, shortly after Queen Elizabeth's coronation. The intimacy of a gesture—Margaret removing lint from Townsend's jacket—sparked speculation about their close bond.

Although an engagement was announced, their union faced obstacles due to Townsend's status as a divorcee. According to the teachings of the Church of England, of which the monarch is the supreme governor, individuals could not remarry in church if their former spouse was still living. As Rosemary was alive two years post-divorce, Princess Margaret ultimately decided against marriage. In her statement, she expressed that she had chosen to prioritize her duty to the Commonwealth over personal desires, emphasizing that her decision was made independently, supported by Townsend's unwavering devotion.