[1][4] It consists of land on the south-east side of the Mount Lofty Ranges that extends from the foothills towards the coastline and which is mostly located within the catchment of the Hindmarsh River.

[8][9] Boundaries for the locality were created in August 1998 for the "long established name" which refers the area associated with the catchment of the Hindmarsh River.

The locality also includes two protected areas – the Mount Billy Conservation Park in its north and part of the Spring Mount Conservation Park in its west, and a heritage listed site - the Cut Hill Stone Wall & Memorial Plaque located in its east on the Victor Harbor Road.

[12][13][14][15] The 2016 Australian census which was conducted in August 2016 reports that Hindmarsh Valley had 476 people living within its boundaries.

[2] Hindmarsh Valley is located within the federal division of Mayo, the state electoral district of Finniss and the local government area of the City of Victor Harbor.