The basins of the Vaga and Kuloy Rivers are separated by the chain of hills which runs through the district from north to south.

[10] There are three natural monuments of local significance in the district protecting various landscapes,[11] In addition, the Chugly Park created by Illarion Dudorov 47 kilometers (29 mi) from Verkhovazhye, is protected as a natural monument since 2002.

[12] Due to its location on one of the main waterways connecting central Russia and the White Sea (it was controlled first by Novgorodians, and after the fall of Novgorod was transferred to the Grand Duchy of Moscow), and the later construction of the surface road connecting Moscow and Arkhangelsk, by the 17th century Verkhovazhye became a major trading settlement.

In the 18th century, industry was introduced, which included a distillery, an iron works, and a paper production plant.

In the 18th century, Verkhovazhsky Posad (currently Verkhovazhye) was one of the main trading towns in the Russian North, holding two annual fairs.

[12] In the course of the administrative reform carried out in 1708 by Peter the Great, the area was included into Archangelgorod Governorate.

Since 1780, the upper Vaga lands were part of Velsky Uyezd with the seat in the town of Velsk.

[14] One of the principal highways in Russia, M8, which connects Moscow and Arkhangelsk, crosses the district from south to north, bypassing Verkhovazhye.