Walter's Falls was founded by John Walter over 160 years ago. John Walter (1804 - 1867) and his wife Elizabeth Payne (1804 - 1882) are buried in the church yard of St. Phillip's Anglican Church. This beautiful stone church, built in 1880, is located beside the Inn and is open to the public year round.

Settling around the river, John harnessed the water power to develop a sawmill, feedmill and woolen mill. The sawmill was owned by the Olmstead brothers until it was sold to Willard Hallman in the mid 1940's.

The sawmill increased its power capacity and expanded in the 50's, but outgrew the power and changed to the hydro grid in the early 80's. Willard's son John continued to operate the sawmill until it burned in 1984. The sawmill was rebuilt on a larger property on the edge of town and was operated until 2016.

The feedmill continues to operate on water power.

The Falls Inn opened in 2005 after 3 years of planning and construction. Built by John and son Dwayne Hallman, Brian McKibbon (brother in law) and local contractors.

The Inn stands in tribute to those who laboured and operated in the village. The Inn is decorated with the fine hardwoods produced on-site for many years. The sawmill pub displays historic photographs from the days when the old mill was still operating. Oil paintings by Francis Hallman-Chong (John's sister) of the sawmill hang throughout the building and depict the operation of the mill, over 3 decades ago.