The hall was constructed between November 1908 and late 1909, with it being officially opened on Wednesday, 19 January 1910. The building was officially opened by Mrs. Henrietta Smith (who also laid the foundation stone), wife of Councillor Louis C.P. Smith, the Chairman of Cavan Urban District Council at that time. The relatively small and ostentatious Town Hall, located on Townhall Street, is built of sandstone from a quarry at Latt, on the northern edge of Cavan Town, while the original slates came from near Carrick-on-Suir in County Tipperary.
The building appears to be designed and built in a version of the Arts and Crafts style of architecture. It underwent significant redecoration and refurbishment in the 1980s, under the direction of Cavan architect Philip Cullivan. Each March, since 1946, the Town Hall has played host to the Cavan International Drama Festival, a competition which has always drawn the finest in amateur drama. After the abolition of Cavan Town Council left the building empty in 2014, the building reopened in 2015 as the local arts centre, under the name Townhall Cavan.