It was built as a farmhouse in 1825 by the Finch family and later occupied by Sir Dudley Coutts Marjoribanks, who subsequently became Lord Tweedmouth. In 1881 Lord Tweedmouth’s daughter and her husband, Lord Aberdeen, took up residence. They often had Prime Minister William Ewart Gladstone to stay as a guest. Other guests at the house included Joseph Chamberlain, Lord Rosebery, and Lord Randolph Churchill, father of Winston Churchill.

In 1897 Lord Aberdeen was appointed Governor-General of Canada and the Aberdeens moved out. When Willesden Urban District Council acquired the house and land in 1899, they named the park Gladstone Park after the old Prime Minister who had died the previous year.

Newspaper proprietor Hugh Gilzean-Reid occupied the house after the Aberdeens moved out, and his guests included the American author Mark Twain, who stayed at Dollis Hill house in the summer of 1900. Twain wrote that he had "never seen any place that was so satisfactorily situated, with its noble trees and stretch of country, and everything that went to make life delightful, and all within a biscuit’s throw of the metropolis of the world." "There is no suggestion of city here; it is country, pure and simple, and as still and reposeful as is the bottom of the sea." He later wrote "Dollis Hill comes nearer to being a paradise than any other home I ever occupied".

The house was opened to the public in 1909, but it was used as a hospital during the First World War. In the Second World War, Winston Churchill’s War Cabinet met there during 1941. The original Red Cross Flag, that flew over the House, when it was being used as a hospital was laid up in the nearby St. Catherine’s Church, where it still hangs, together with a memorial plaque.

From 1974 the house was used for training courses for catering students, until it was closed in 1989. Two major fires in 1995 and 1996 damaged the house badly, and from then onward it remained derelict. On February 20, 2011, a third fire broke out in the basement of Dollis Hill House. Dollis Hill House Trust worked to find a solution in accordance with Brent Council’s stipulations, teaming up briefly with social enterprise. When funding failed, the Council declared its intention to initiate an application for demolition.

In April 2011 Brent Council announced that all attempts to save Dollis Hill House had failed, and that they had been given permission by the Secretary of State for Communities and Local Government to demolish the building. In January 2012, Dollis Hill House was entirely demolished, leaving the historic site barren.

In mid-2012 Brent council controversially undertook the building of a folly that followed the old floor plan of the house but utilizing none of the original house fabric or materials.