It is located in the present-day Luster Municipality (in Vestland county) in the traditional district of Sogn.

The former municipality included the villages of Kinsedalen, Ornes, and Kroken on the east side of the Lustrafjorden.

It also included the villages of Solvorn, Hafslo, Joranger, and the whole Veitastrond valley on the west side of the Lustrafjorden.

During the 1960s, there were many municipal mergers across Norway due to the work of the Schei Committee.

The last element is ló which means "clearing" or "meadow", probably due to the excellent farming areas nearby.