The original town off Caves Rd was established in 1884 and at its peak had 300 workers plus their families. The first school opened in 1888. The last remnants of Old Karridale that serviced the timber industry was destroyed in the fires of 1961.
In the 1920’s the Group Settlement Scheme bought new settlers to farm the area. Group 4, made up of 20 families, came to Karridale. Each received160 acre lots and a grant of 10 pounds.
The current Karridale crossroad settlement, where Brockman Hwy meets Bussell Hwy is 14 kms north of Augusta. In 2006 it had a population of 285 but this has increased with the recent small acreage developments.