The Valley Inn (also known at various times as the Woolpack and Welcome Inn) was built in Valley Heights in 1832. When purchased in 1870 by the Hon. Geoffrey Eagar,a Colonial Treasurer who lived in the Valley. He had a railway platform named after himself, called Eagar's Platform.

The name was changed to the Valley in 1877 and to Valley Heights in 1890. A steam engine locomotive depot operated here from 1913 until electrification of the railway in 1957.

Valley Heights has the railway station, rail museum and the historic Gatekeepers cottage.