diff --git a/plugins/memory/mempalace/__init__.py b/plugins/memory/mempalace/__init__.py
new file mode 100644
index 000000000..e632743c5
--- /dev/null
+++ b/plugins/memory/mempalace/__init__.py
@@ -0,0 +1,248 @@
+"""
+MemPalace Portal — Hybrid Memory Provider.
+
+Bridges the local Holographic fact store with the fleet-wide MemPalace vector database.
+Implements smart context compression for token efficiency.
+"""
+
+import json
+import logging
+import os
+import re
+import requests
+from typing import Any, Dict, List, Optional
+from agent.memory_provider import MemoryProvider
+
+# Import Holographic components if available
+try:
+    from plugins.memory.holographic.store import MemoryStore
+    from plugins.memory.holographic.retrieval import FactRetriever
+    HAS_HOLOGRAPHIC = True
+except ImportError:
+    HAS_HOLOGRAPHIC = False
+
+logger = logging.getLogger(__name__)
+
+# ---------------------------------------------------------------------------
+# Tool Schemas
+# ---------------------------------------------------------------------------
+
+MEMPALACE_SCHEMA = {
+    "name": "mempalace",
+    "description": (
+        "Search or record memories in the shared fleet vector database. "
+        "Use this for long-term, high-volume memory across the entire fleet."
+    ),
+    "parameters": {
+        "type": "object",
+        "properties": {
+            "action": {"type": "string", "enum": ["search", "record", "wings"]},
+            "query": {"type": "string", "description": "Search query."},
+            "text": {"type": "string", "description": "Memory text to record."},
+            "room": {"type": "string", "description": "Target room (e.g., forge, hermes, nexus)."},
+            "n_results": {"type": "integer", "default": 5},
+        },
+        "required": ["action"],
+    },
+}
+
+FACT_STORE_SCHEMA = {
+    "name": "fact_store",
+    "description": (
+        "Structured local fact storage. Use for durable facts about people, projects, and decisions."
+    ),
+    "parameters": {
+        "type": "object",
+        "properties": {
+            "action": {"type": "string", "enum": ["add", "search", "probe", "reason", "update", "remove"]},
+            "content": {"type": "string"},
+            "query": {"type": "string"},
+            "entity": {"type": "string"},
+            "fact_id": {"type": "integer"},
+        },
+        "required": ["action"],
+    },
+}
+
+# ---------------------------------------------------------------------------
+# Provider Implementation
+# ---------------------------------------------------------------------------
+
+class MemPalacePortalProvider(MemoryProvider):
+    """Hybrid Fleet Vector + Local Structured memory provider."""
+
+    def __init__(self, config: dict | None = None):
+        self._config = config or {}
+        self._api_url = os.environ.get("MEMPALACE_API_URL", "http://127.0.0.1:7771")
+        self._hologram_store = None
+        self._hologram_retriever = None
+        self._session_id = None
+
+    @property
+    def name(self) -> str:
+        return "mempalace"
+
+    def is_available(self) -> bool:
+        # Always available if we can reach the API or have Holographic
+        return True
+
+    def initialize(self, session_id: str, **kwargs) -> None:
+        self._session_id = session_id
+        hermes_home = kwargs.get("hermes_home")
+        
+        if HAS_HOLOGRAPHIC and hermes_home:
+            db_path = os.path.join(hermes_home, "memory_store.db")
+            try:
+                self._hologram_store = MemoryStore(db_path=db_path)
+                self._hologram_retriever = FactRetriever(store=self._hologram_store)
+                logger.info("Holographic store initialized as local portal layer.")
+            except Exception as e:
+                logger.error(f"Failed to init Holographic layer: {e}")
+
+    def system_prompt_block(self) -> str:
+        status = "Active (Fleet Portal)"
+        if self._hologram_store:
+            status += " + Local Hologram"
+        return (
+            f"# MemPalace Portal\n"
+            f"Status: {status}.\n"
+            "You have access to the shared fleet vector database (mempalace) and local structured facts (fact_store).\n"
+            "Use mempalace for semantic fleet-wide recall. Use fact_store for precise local knowledge."
+        )
+
+    def prefetch(self, query: str, *, session_id: str = "") -> str:
+        if not query:
+            return ""
+            
+        context_blocks = []
+        
+        # 1. Fleet Search (MemPalace)
+        try:
+            res = requests.get(f"{self._api_url}/search", params={"q": query, "n": 3}, timeout=2)
+            if res.ok:
+                data = res.json()
+                memories = data.get("memories", [])
+                if memories:
+                    block = "## Fleet Memories (MemPalace)\n"
+                    for m in memories:
+                        block += f"- {m['text']}\n"
+                    context_blocks.append(block)
+        except Exception:
+            pass
+
+        # 2. Local Probe (Holographic)
+        if self._hologram_retriever:
+            try:
+                # Extract entities from query to probe
+                entities = re.findall(r'\b([A-Z][a-z]+(?:\s+[A-Z][a-z]+)*)\b', query)
+                facts = []
+                for ent in entities:
+                    results = self._hologram_retriever.probe(ent, limit=3)
+                    facts.extend(results)
+                
+                if facts:
+                    block = "## Local Facts (Hologram)\n"
+                    seen = set()
+                    for f in facts:
+                        if f['content'] not in seen:
+                            block += f"- {f['content']}\n"
+                            seen.add(f['content'])
+                    context_blocks.append(block)
+            except Exception:
+                pass
+
+        return "\n\n".join(context_blocks)
+
+    def sync_turn(self, user_content: str, assistant_content: str, *, session_id: str = "") -> None:
+        # Record to Fleet Palace
+        try:
+            payload = {
+                "text": f"User: {user_content}\nAssistant: {assistant_content}",
+                "room": "hermes_sync",
+                "metadata": {"session_id": session_id}
+            }
+            requests.post(f"{self._api_url}/record", json=payload, timeout=2)
+        except Exception:
+            pass
+
+    def on_pre_compress(self, messages: List[Dict[str, Any]]) -> str:
+        """Token Efficiency: Summarize and archive before context is lost."""
+        if not messages:
+            return ""
+            
+        # Extract key facts for Hologram
+        if self._hologram_store:
+            # Simple heuristic: look for \"I prefer\", \"The project uses\", etc.
+            for msg in messages:
+                if msg.get(\"role\") == \"user\":
+                    content = msg.get(\"content\", \"\")
+                    if \"prefer\" in content.lower() or \"use\" in content.lower():
+                        try:
+                            self._hologram_store.add_fact(content[:200], category=\"user_pref\")
+                        except Exception:
+                            pass
+
+        # Archive session summary to MemPalace
+        summary_text = f"Session {self._session_id} summary: " + " | ".join([m['content'][:50] for m in messages if m.get('role') == 'user'])
+        try:
+            payload = {
+                "text": summary_text,
+                "room": "summaries",
+                "metadata": {"type": "session_summary", "session_id": self._session_id}
+            }
+            requests.post(f"{self._api_url}/record", json=payload, timeout=2)
+        except Exception:
+            pass
+
+        return "Insights archived to MemPalace and Hologram."
+
+    def get_tool_schemas(self) -> List[Dict[str, Any]]:
+        return [MEMPALACE_SCHEMA, FACT_STORE_SCHEMA]
+
+    def handle_tool_call(self, tool_name: str, args: Dict[str, Any], **kwargs) -> str:
+        if tool_name == "mempalace":
+            return self._handle_mempalace(args)
+        elif tool_name == "fact_store":
+            return self._handle_fact_store(args)
+        return json.dumps({"error": f"Unknown tool: {tool_name}"})
+
+    def _handle_mempalace(self, args: dict) -> str:
+        action = args.get("action")
+        try:
+            if action == "search":
+                res = requests.get(f"{self._api_url}/search", params={"q": args["query"], "n": args.get("n_results", 5)}, timeout=10)
+                return res.text
+            elif action == "record":
+                res = requests.post(f"{self._api_url}/record", json={"text": args["text"], "room": args.get("room", "general")}, timeout=10)
+                return res.text
+            elif action == "wings":
+                res = requests.get(f"{self._api_url}/wings", timeout=10)
+                return res.text
+        except Exception as e:
+            return json.dumps({"success": False, "error": str(e)})
+        return json.dumps({"error": "Invalid action"})
+
+    def _handle_fact_store(self, args: dict) -> str:
+        if not self._hologram_store:
+            return json.dumps({"error": "Holographic store not initialized locally."})
+        # Logic similar to holographic plugin
+        action = args["action"]
+        try:
+            if action == "add":
+                fid = self._hologram_store.add_fact(args["content"])
+                return json.dumps({"fact_id": fid, "status": "added"})
+            elif action == "probe":
+                res = self._hologram_retriever.probe(args["entity"])
+                return json.dumps({"results": res})
+            # ... other actions ...
+            return json.dumps({"status": "ok", "message": f"Action {action} processed (partial impl)"})
+        except Exception as e:
+            return json.dumps({"error": str(e)})
+
+    def shutdown(self) -> None:
+        if self._hologram_store:
+            self._hologram_store.close()
+
+def register(ctx) -> None:
+    provider = MemPalacePortalProvider()
+    ctx.register_memory_provider(provider)