The original Erskineville Town Hall was built on an adjacent site in the 1880s following the incorporation of the Macdonaldtown Municipal Council in 1872.

[5][7] On 1 December 1937, the Mayor of the council, Alderman J. W. Elliott, laid the foundation stone and nearly year later, on 26 November 1938, the Secretary for Public Works and Minister for Local Government, Eric Spooner MLA, officially opened Erskineville Town Hall with the Mayor at that time, Alderman N.

[9][7][10] Built by C. Hayter and Son, master builders of Hurstville, other contractors and suppliers included Wunderlich Ltd (copper facade and lettering), Melocco Bros. (terrazzo floors), A. H. Dillon Pty Ltd (wall and floor tiles), John Danks & Son (sanitary fittings).

[11] However, even this simpler redesign of the town hall found criticism, with the Daily Telegraph demanding to know how the Council could justify spending £5000 on their "luxurious chamber" when they wouldn't pay for the immunisation of children against diphtheria for £75.

In 2005 Lord Mayor of Sydney Clover Moore commissioned refurbishment and restoration works for the town hall which included gas-powered air-conditioning and solar energy and improved disability access for the building.

"[13] The Town Hall is now also on the City of Sydney heritage register "as a fine example of the growth of small municipal councils in NSW during the 1870s to 1940s and one of three town halls from the same period ─ the others are at Petersham and Rockdale ─ that feature art deco influences, a central clock tower and a classical entry portico.