The museum was founded in 1977, when the Southern Railway deeded of land to North Carolina for a transportation museum. Two years later, another was added to the original donation; the entirety of the railway's largest former steam locomotive repair shops. The museum's first exhibit called People, Places and Time opened in 1983. The museum grew over the years, most notably in 1996, with the opening of Barber Junction, a relocated railroad depot from some 30 miles away, and the newly renovated Bob Julian Roundhouse. Barber Junction serves as the museum's Visitor's Center and departure point for the on-site train ride. The Bob Julian Roundhouse serves as the hub for most of the museum's railroad exhibits, but also includes aviation exhibits and site history.