The tower was designed by William R. Coats and built as part of an elaborate city waterworks project that began in 1889.

An ordinance passed on April 14, 1898, established a yearly rate schedule for residences with running water.

Rates were based on the number of faucets in use, the type of business that customers operated and the livestock they owned.

[6] A marble bust of Demetrios Ypsilantis stands between a Greek and a U.S. flag at the base of the water tower.

The tower has long been a source of humor for comedians in the Ann Arbor–Ypsilanti area, for its phallic shape; it has been nicknamed "the Brick Dick".

[7][8] An urban legend holds that the tower will crumble if a virgin graduates from nearby Eastern Michigan University.