- "This is the house of an amazingly gorgeous woman, the furtune-teller Merluvlee. Merlow, who collects Star Pieces, also lives here. This house pulses with psychic power. Can you feel it? It feels...weird. It feels like I'm floating on some sort of spiritual cushion."
- ― Goombario's Tattle
The first floor is home to Merluvlee and her fortune telling. It is here she can predict where the next Star Piece, Badge, or Super Block is located, for five, thirty, and thirty coins respectively. Also on this floor is a treasure chest which features items Mario can acquire from Princess Peach. While in Princess Peach's Castle, Princess Peach finds a treasure chest identical to the one found in Merluvlee and Merlow's house. She can give Mario a Deep Focus, Jammin' Jelly, and Power Rush by way of this treasure chest.
The second floor is home to Merlow and his trading system. Here he will trade with Mario, badges for Star Pieces.