Built in 1696 by Xue Kui (薛奎), a military officer of Penghu Navy, it mainly serves the Shuixian Zunwang, five Taoist immortals worshipped as sea gods.

[1] This building is also called as "Taixiajiao Kongsi" (Chinese:臺廈郊會館; pinyin:Tái xià jiāo huìguǎn) because it was used as a commercial hall which dealt with the trading between Taiwan main island and Xiamen during the late of Qing Dynasty.

[1] After Xue Kui built this temple in 1696, Shuixian Temple also was erected on 1780 and 1821, according to the Chorography of Penghu by Lin Hao (Chinese:林豪; pinyin: Lín háo).

[1] In 1875, there were many local merchants who organized a company (Taixiajiao Kongsi), which was responsible for the business or coordination.

[3][4] This temple was set up as two-storied house on 1929 (Shōwa the 4th year, Empire of Japan).