Valga Town Hall was built next to the main square and former market square in 1864-1866.
In the middle of the 19th century, several discussions were held about construction of a new town hall building. The old town hall near by the town school had turned rather shabby and was too little. In 1848, the Town Council applied for support from the Government of the Province of Livonia to purchase or construct a bigger building. The initial ambition to have a stone town hall was disregarded due to lack of money. In January 1864, the decision was taken to reconstruct the empty wooden guard's house alongside the market square.
On the 15th of March 1866, the Town Council moved from the old building to the new one and celebrated completion of the construction works with a feast. In front of the Town Hall, there was the marketplace that was used for announcing official proclamations. The Town Hall Herald beating his little drums stepped out of the building followed by a public servant wearing his red rimmed hat and bearing paper rolls.
This building has been headquarters of Valga Town Government and Council from the very beginning. In the end of the 19th century, the Town Hall building housed also the town public library, health insurance fund and archives.