Hraničky was initially exclusively settled by ethnic German farmers, who came to the area from the Northern Moravian districts Králíky and Staré Město.

Heinrich Förster, prince-bishop of Breslau, leading the Catholics on both sides of the new border, also sponsored the building of the St. Joseph chapel in Hraničky as a gift to the village on its 100-year anniversary of existence.

The rest of the village, however, remained unoccupied and therefore in 1959 the Czechoslovakian communist government decided to completely destroy the settlement.

In the summer 1960, the Czechoslovakian Army demolished nearly every standing structure in Hraničky, including the local church and St. Joseph's chapel.

The last still standing structure is a mountain cottage owned by the members of the Royal family of Bavaria, the Wittelsbachs.