The Park is part of the Tumwater Historic District and is listed on the National Register of Historic Places. Once a favorite hunting, fishing and gathering place of the Native American population, the location was also the site of the first American settlement north of the Columbia River. In 1845 a group of thirty pioneers, led by Michael T. Simmons, settled around the river. Simmons and his party built a sawmill and gristmill along its banks; and with this industry as its core, the community was born.

Simmons boldly called the town "New Market" to signal the Hudson Bay Company that they had new competition in the area. Time would prove him right as more and more settlers arrived and the Falls became the site of a wide variety of businesses. In addition to lumber and grist mills, there were furniture and box manufacturers, wagon works, pipe factory, a tannery and other businesses. At one time flumes crisscrossed the Falls as the various businesses utilized the power of the falling water.

The arrival of the rail road in 1878 and of German born brewer Leopold Schmidt in 1895 were two important dates in the history of the Falls. The railroad sparked further settlement throughout the area and expanded the markets for the businesses based along the river.

Schmidt's arrival, triggered by his enthusiasm for the quality of the artesian water which bubbled from the ground near the Falls, signaled the start of the Olympia Brewing Co. in 1896. This company's buildings on the east side of the river, including the historic brick facility at the Lower Falls (built in 1906) and modern plant adjacent to the Upper Falls where the company moved in 1933 after repeal of prohibition, are the last remaining symbols of the dozens of companies that once occupied Washington's first business area.

Today, Tumwater Falls Park is the most popular privately-owned park in the State of Washington.
From a quiet camp for Native Americans to a bustling early American industrial town, the Falls area has returned to a mostly natural setting. And even though it attracts several hundred thousands of visitors a year, its quiet trails and views of cascading waters are a serene and relaxing experience.