Construction on the dam started in 1929 with a joint venture by the Irvine Company and Serrano Irrigation District.

The dam was built to serve the purpose of flood control, irrigation and municipal water use.

With heavy suburban sprawl downstream encroaching since the 1960s, agriculture along lower Santiago Creek has practically ceased.

[7] Irvine Lake is the reservoir formed behind the dam, and has a normal storage of 25,000 acre-feet (31,000,000 m3) at 791 feet (241 m) elevation.

Villa Park is designed to stay dry during normal weather conditions and hold back most flood releases from the Santiago Dam.