Watervale is a town on the Horrocks Highway approximately 9 kilometres north of Auburn and 15 kilometres south of Clare. It is surrounded by a number of small wineries and several B&Bs. The Riesling Trail runs past the town to the west, between the Highway and the Skilly Hills.
The town has a number of 19th-century heritage buildings, including the former Stanley Grammar School, which now provides private bed and breakfast accommodation.
A number of cellar doors call Watervale home with the Watervale region particularly known for its excellent Riesling.
The Watervale Hotel has been renovated into a major dining destination and the Watervale General Store provides staples and delicious food. The township boasts a general store and Post Office, Hotel, Primary School, CFS unit, Anglican and Uniting churches, a garage, a small number of local businesses, wineries, and a variety of recreational facilities at the "Watervale Soldiers' Memorial Park" (tennis club, tennis courts and a bowling green). The historic Grandstand overlooking the town oval was renovated in 2010.
Watervale is located on Eyre Creek, which is a tributary of the Wakefield River. The area on which the town was settled was originally granted to a pioneer named David Davies in 1847 by Governor Robe, and he named this section of land Watervale.
The area was settled by a number of Protestant families who founded a Bible Methodist Church in the township. The current Uniting Church and accompanying hall are examples of such colonial constructions in the area.
1. Watervale General Store
2. Watervale Hotel
3. Old Uniting Church