In the early 20th century, to satisfy the needs of the growing city and Indiana University, the city of Bloomington constructed a number of dams on various tributaries of Clear Creek southwest of town, creating a number of reservoirs: the Leonard Springs Reservoir, Wapehani Lake, Twin Lakes.

Cumings' recommendation, the dam for the new reservoir was constructed over impervious Knobstone formations, blocking a ravine of a small tributary of Griffy Creek northeast of the IU campus.

[2] In 1934 Griffy Lake's water treatment plant and much of the adjacent territory passed into the city's ownership; the dam was expanded, now standing 44' tall (644' above the mean sea level).

Increased trespassing and mercury leaks from water treatment equipment demanded heightened security and eventually its demolition.

However, past outbreaks of toxic blue-green algae and pesticide runoff from the University Golf Course make the lake unsafe to swim.

Beginning in late July 2021, the lake was temporarily lowered to conduct survey work for a new fishing pier and walkway on the western face of the Headley Road causeway.

The walkway was opened to the public with a ribbon-cutting ceremony on July 29, 2022, which also celebrated 50 years of management by the Bloomington Parks and Recreation Department.

[2] In 2008, Bloomington pop-punk band Good Luck named their first studio album after the reservoir, entitled Into Lake Griffy.