Cloverdale began as an early stagecoach stop, known as Markleville, on the Rancho Rincon de Musalacon Mexican grant. In 1856, R.B. Markle and W.J. Miller bought , which included the present site of the town, from Johnson Horrell. In 1859, James Abram Kleiser bought Markle's interest, and the town was laid out. The town was incorporated when the San Francisco and North Pacific Railroad arrived in 1872. By 1878, the railroad service provided three trains a day between Cloverdale and Ferries of San Francisco Bay.