The Cape Government Railways were founded in 1872, and the route that the government chose for the line to connect the Kimberley diamond fields to Cape Town on the coast, ran directly through De Aar. Because of its central location, the government also selected the location for a junction between this first railway line, and the other Cape railway networks further east, in 1881. In 1899 two brothers who ran a trading store and hotel at the junction, Isaac and Wulf Friedlander, purchased the farm of De Aar. Following the Anglo Boer War, the Friedlander brothers surveyed the land for the establishment of a town. The municipality was created a year later and the town's first mayor, Dr Harry Baker, was elected in 1907.