American-Latvian relations have been steadily growing since the fall of the USSR, and in 2004, Latvia joined NATO. Latvia is an active member in NATO and takes part in NATO-led operations throughout the world. As NATO members share common interests in security, Latvia laid the ground for its security policy in NATO and recognizes that security cooperation is the most effective way to protect and preserve the Euro-Atlantic region. Latvia's NATO membership creates security and stability for the country in many ways. However, arguably the most important is in the terms of the NATO treaty. Article 5 states that an attack on one NATO country should be considered an attack on all NATO countries.
The embassy of in Washington DC was established to preserve the relations between the United States and Latvia. However, the building that houses the embassy was not always a political place. Built in 1902 and the second house on Sheridan Circle, the house was designed by Waddy B. Wood. The house was built for Alice Pike Barney, a philanthropist who wanted to transform Washington DC into the cultural capital. Throughout her life, Barney hosted many gatherings in her home, including musical performances and theatrical productions. The house hosted many well-known individuals, including presidents Theodore Roosevelt and William H. Taft.
Before becoming the Latvian embassy, the house also housed the Embassy of Peru, the Colombian Litigation, and a British Officers' Club. In 1960, the house was given to the Smithsonian, who, in turn, sold the house in 1999. In 2001, the Embassy of Latvia bought the building, renovated it, and, eventually, relocated there in 2005. The house is listed on the National Register of Historic Places and the DC Inventory of Historic Sites.