El Castell de Guadalest, which existed in Muslim period , after the Christian conquest (S. XIII), retained an abundant Islamic population under the dominion of different Catalan-Aragonese nobles.
King James II donated in fief Castle Guadalest to Bernardo de Sarrià in 1293 and here begins a period of 42 years, during which the castle and the whole region belong to the Sarrià family.
In 1335 the castle passed to the Crown, who sells it to the Infante D. Pedro and he passes his son, the first Royal Duke of Gandia and the death of the last Duke of Gandia Real, the Cardona family. Kings Dª Juana and Don Carlos, granted D. Sancho de Cardona and his successors perpetually the title of Marquises of Guadalest in 1543 . Cardona had titles, including the Duke of Cardona and the Admiralty of Aragon. D. Sancho de Cardona married Maria of Columbus and Toledo, granddaughter of the discoverer of America.
The last Cardona, Marquis of Guadalest, died childless in 1699 and this caused a number of problems that ended the fall marquesado in the person of the Marquis of Ariza; The Marquis continues and its power declined in the nineteenth century.
During the time of Cardona, another family that is more relevant, is the family of Orduña. Orduña linking El Castell de Guadalest dating from the sixteenth century, they were perpetual wardens since 1669 and reached nobility in 1756, when he joined the Order of Santiago, Don Pedro Antonio Buenaventura de Orduña and García.
In the nineteenth century, with the abolition of the lordships, the Orduña acquire power and influence over the inhabitants of the valley and also on the region of the Navy to hold its members the positions of Chairman of the Provincial Council of Alicante, governors, deputies and senators in the Spanish courts. D. Carlos Maria de Orduña and Ciscar was the patriarch of an extended family. His political ambitions were inherited by D. Joaquin Feliu de Orduña and as he had no offspring, was his brother José Atanasio Torres Ibars of Povil and his son D. Antonio Torres de Orduña who kept up a political career outside the limits from the valley. D. Joaquin was Civil Governor of Alicante and D. Antonio deputy.
In 1934 died the last Orduña, D. Carlos Torres de Orduña, without descendants, through his possessions to side branches.
While these two families became part of the history of El Castell de Guadalest, other singular facts changed the physiognomy of the municipality.
In 1609 the Moriscos valley majority population, were expelled, creating a large demographic vacuum that attempted to fill the Puebla Letter of 1611.
On 22 June 1644 a produced earthquake that destroyed the Castle and in December of the same year, repeats another earthquake of great intensity.
In 1748 and 1752 , new earthquakes occur, but less important than before.
During the War of Succession in 1708 , the Castle of San José suffers a blast that severely affect its west wing and the Orduña house is on fire.
The Bourbon army, victor in the battle of Almansa moved to Valencia, Játiva attacked and destroyed and part of it came to Alcoy and El Castell de Guadalest. The austracistas killed the Bourbon defenders, but eventually had to leave the municipality.
In the twentieth century , El Castell de Guadalest undergoes a series of important changes:
In 1953, it begins to build the dam to be completed in 1971.
Tourism begins to discover the charm of El Castell de Guadalest.
In 1974, El Castell de Guadalest is declared historic - artistic .
The Walled decree is subject to specific protection of the Spanish castles of April 22, 1949 .In 1980, El Castell de Guadalest receives the Bronze Plaque for Tourist Merit and in 1981 the Third Prize of National Tourism to the Beautification and Improvement of the peoples of Spain.
In 1994, the municipal purchase of the Orduña House remembers and proceeds to rehabilitation to be transformed into Municipal Museum.
Law 13/1985 of June 25 Spanish Historical Heritage and the Law 4/1998 of 11 June the Generalitat Valenciana, the Valencian Cultural Heritage, state that the rules applicable to the unique elements of the set of El Castell de Guadalest it is typical of the Goods of Cultural Interest. (BIC).
In 2015 , after overcoming a series of audits, the municipality is part of "The Most Beautiful Villages in Spain" and in 2016 enters the Federation of the most beautiful towns in the world.