Dharamshalas is the term for a religious resthouse. In Hindi, Dharma

Dharma

Dharma means Law or Natural Law and is a concept of central importance in Indian philosophy and religion. In the context of Hinduism, it refers to one's personal obligations, calling and duties, and a Hindu's dharma is affected by the person's age, caste, class, occupation, and gender...

 means religion, and shala means "sanctuary" hence dharamshala is a 'religious sanctuary' or rest-house for pilgrims, that are primarily created for a religious purpose for pilgrims, or as a religious endowment.

Sometimes they are made for specific communities based ethnic, profession or region-wise classifications, at religious pilgrimages, a tradition common in Jainism

Jainism

Jainism is an Indian religion that prescribes a path of non-violence towards all living beings. Its philosophy and practice emphasize the necessity of self-effort to move the soul towards divine consciousness and liberation. Any soul that has conquered its own inner enemies and achieved the state...

, Hinduism

Hinduism

Hinduism is the predominant and indigenous religious tradition of the Indian Subcontinent. Hinduism is known to its followers as , amongst many other expressions...

 and also Tibetan Buddhism

Tibetan Buddhism

Tibetan Buddhism is the body of Buddhist religious doctrine and institutions characteristic of Tibet and certain regions of the Himalayas, including northern Nepal, Bhutan, and India . It is the state religion of Bhutan...

. Just as sarai

Sarai

-Places:*Saraj , an historic estate in Resen built by Ahmed Niyazi Bey*Bal-Sarai, a village in Amritsar District of Punjab, India*Sarai , the capital city of the Golden Horde*Saraj municipality, a municipality in Greater Skopje, Republic of Macedonia...

 is for travellers and caravans, dharamshalas are specifically meant for religious travellers, built at pilgrimage sites. At a dharamshala, members of the community are charged minimal or allowed free stay of limited duration.

The cantonment

Cantonment

A cantonment is a temporary or semi-permanent military or police quarters. The word cantonment is derived from the French word canton meaning corner or district, as is the name of the Cantons of Switzerland. In South Asia, the term cantonment also describes permanent military stations...

 town of Dharamsala

Dharamsala

Dharamshala or Dharamsala is a city in northern India. It was formerly known as Bhagsu; it is the winter seat of government of the state of Himachal Pradesh and the district headquarters of the Kangra district....

 in Himachal Pradesh

Himachal Pradesh

Himachal Pradesh is a state in Northern India. It is spread over , and is bordered by the Indian states of Jammu and Kashmir on the north, Punjab on the west and south-west, Haryana and Uttar Pradesh on the south, Uttarakhand on the south-east and by the Tibet Autonomous Region on the east...

, was established in 1849 by the British, on an empty land where a Dharamshala stood, hence the name taken for the town.