[1][2][3] The museum has collections that cover the history of the Shetland Islands as well as historical subjects such as the Shetland bus operations.
[2][3][4] The museum also holds local historical records.
[3] The museum began in 1985 under the direction of the local Scalloway History Group.
[2] Between 2007 and 2011, an abandoned woollen mill adjacent to Scalloway Castle was restored and converted to house the museum to a plan by Richard Gibson Architects.
[6] In 2012, the museum reopened in the former mill with an official opening ceremony by Jens Stoltenberg, the Prime Minister of Norway.