The Sai Baba Ashram is located at Prashanthi Nilayam at Anantapur District of Andhra Pradesh. The Ashram is connected with Bangalore and Puttaparthi through a three hour railway service. The Puttaparthi-Dharmavaram link also connects to Northern Railway service. The nearest airports are at Bangalore and Puttaparthi, which is about 6 km away from the ashram.

The founder of the Ashram was Sri Satya Sai Baba, who was born in the village of Puttaparthi. The ashram was established in the year of 1926. Sri Sai Baba showed much spiritual manifestation from the tender age of fourteen. He is said to be an incarnation of Sai Baba if Shirdi, Maharashtra.

The Satya Sai Baba ashram is named as Prashanti Nilayam and is a very well designed and systemic ashram. The ashram includes many temples, a `Kalpavriksha` or wish-fulfilling tree and a `meditation tree`. There is a Darshan Hall where Swami meets his devotees. The campus also encompasses a post office, a public relation desk, a canteen and even a bakery. Sri Satya Sai Baba inaugurated the ashram on November 23, 1950 on the ceremony of his twenty fifth birthday. At the beginning the ashram was a newly built temple only that was built to accommodate the increasing number of devotees of Sai Baba. By that time young Sai Baba`s fame was swept over newly independent India. He showed various miracles like picking flowers, candy, idols, nectar out of thin air and people gathered in the ashram to see this awesome event.

Gradually Prashanti Nilayam developed into an ashram, with a free school and a deemed university, as well as included a hospital with good facilities. An open-heart surgery and a kidney transplant are performed free of charge everyday to serve the poor. The hospital is free for the poor. Sri Satya Sai has proclaimed that he will attain samadhi at the age of 93 that enabled him to work for two more decades for the well being of mankind. The ashram of Sai Baba awakes at 4 am in the morning at ceases working at 9 pm at night. The ashram becomes quite for two hours after lunch and rest of the day it bustles with activities of daily life. The Ashram maintains a strict rule for the visitors to keep the environment clean.