It was established as a burying ground for local African-Americans in 1860 [3] through a donation of land by the Underhill family with the intent that it “shall forever hereafter kept, held and used for the purpose of a cemetery or burial place for the colored inhabitants of the said Town of Rye, and its vicinity free and clear of any charge".

[4] At least 35 of the individuals buried there are American veterans including men who served with the 20th United States Colored Infantry Regiment.

[5] In 2004, it was added to the African American Heritage Trail of Westchester County, a group of 14 sites which include Stony Hill Cemetery, Villa Lewaro and the Jay Estate.

The Friends have led the preservation effort since 2010[8] In 2021, over 40 stones were conserved in a joint effort between the Friends of the Rye African American Cemetery, World Monuments Fund, Jay Heritage Center and Woodlawn Conservancy.

New signage for the burial ground to make it easier to locate and reinforce its identity as a separate entity was installed in 2021 as part of revitalization efforts.