It is named for Daniel Kirkwood (1814–1895) an astronomer and professor of mathematics at Indiana University who discovered the divisions of the asteroid belt known as the Kirkwood Gaps.

Built in 1900 and dedicated on May 15, 1901, the observatory was thoroughly renovated during the 2001–02 academic year.

Although the facility is no longer used for research, its original refracting telescope, built by Warner & Swasey Company with a 12-inch (0.3-meter) Brashear objective lens, also received a complete restoration.

The telescope is now used regularly for outreach events and undergraduate-level classes.

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