[6] According to the United States Census Bureau the town has a total area of 0.6 square miles (1.6 km2), all of it land.

The history of Parksley is directly tied to the arrival of the New York, Philadelphia, and Norfolk [NYP&N] Railroad on Virginia's Eastern Shore in the mid-1880s.

When the rail line connecting the lower Delmarva Peninsula to the markets of the northeast was built in 1884, several new towns were created along its route which bypassed many of the shore's older established communities.

During the first half of the 20th century, Parksley became an important shipping point for seafood and agricultural products harvested from the Chesapeake Bay and the Atlantic Ocean in Accomack County.

[10] During World War II, Parksley was the site of the Shore National Guard Armory and its airfield was utilized by the Civil Air Patrol, part of military reconnaissance activities guarding the east coast of the United States against possible German invasion.

The removal was approved by the company Canonie Atlantic Co., despite the protests of some locals and New York, Philadelphia and Norfolk Railroad.

[12] The removal was approved; the only remaining train tracks in Parksley are associated with the Eastern Shore Railway Museum.