The village of Sprucevale was founded around 1835 by the Hambleton Brothers: Charles, James, Isaac, and Benjamin. The village had a flax seed oil mill, sawmill, woolen mill, and this gristmill. The Sandy & Beaver Canal helped the village prosper.

This mill site was established in 1813 when James Brooks built a small mill along Little Beaver Creek. This particular gristmill was constructed around 1835 by James Hambleton. Water from the canal was used to turn a waterwheel that was located in the basement. The operation ceased after the Sandy & Beaver Canal was abandoned in 1852. The mill was never operated again. In the 1970's, a descendant of the pioneer Vodrey Family, William Vodrey, generously provided the funds necessary to replace the roof and repair the crumbling walls.