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Mühlau was already settled in the late Bronze Age, which is proven by grave finds. The name derives from the many mills that were operated for centuries along the stream of the same name. It is the first of the so-called MARTHA villages, situated on the old village road from Innsbruck to Hall.

Among the oldest buildings is the Ansitz Sternbach, whose most famous inhabitant was Baroness von Sternbach, who went down in history as a pipe-smoking supporter of the Tyrolean freedom fighters.

Incidentally, the great Austrian poet Georg Trakl and Ludwig von Ficker, writer and Trakl supporter, are both buried in the Mühlau cemetery.