[2][3] Dunham Wright was a cousin of Abraham Lincoln and an early Oregon politician, who established the area on December 4, 1868, after the discovery of hot springs there.

"[5] In 1869, Wright built a cabin and small bathhouse there, modeling the area as a resort town around the thermal springs.

[5] In 1905 a sanitarium, general store, and post office were constructed, and the town attracted residents from nearby Union and La Grande; however, unlike nearby Hot Lake Resort, which catered to wealthy travelers, Medical Springs attracted miners, gamblers, and cowboys.

[5] The town's main attraction in its heyday was its Olympic-size swimming pool, built in 1929, which runs nine feet in depth at its deepest end, and is sourced from the hot springs themselves, whose mineral waters are thought to be therapeutic.

[5] As of 2022, the hotel, a private residence, and the abandoned general store are the only buildings left standing, and the swimming pool is no longer open to the public.