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It is located on the Danube, immediately north of Vienna, from which it is separated by the Kahlenberg and the Leopoldsberg. It has been separated by its twin city of Korneuburg on the other side of the Danube since the river changed its course during the Middle Ages.
Klosterneuburg was founded by Margrave Leopold III and developed in conjunction with its famous monastery. Leopold III and later Leopold VI (the latter only during part of his reign) had their residences there. From 1938 to 1954, it constituted the 26th district of Vienna. Today, it is a site of industry and a suburb of Vienna. The well-known Essl Museum of contemporary art is also on display in the town.
The Klosterneuburg Monastery, the existence of which was first documented in 1108 and soon after was given to the Augustinians, is of particular historical importance.