The area was named after Edward Botterel, an early settler who arrived from Montreal around 1888. Alongside E.H. Botterel, he established the Dog Pound Ranch, which was later renamed the Botterell Ranch.

When a local post office was established on December 1, 1909, it was named after Edward Botterel. However, an administrative error spelled the name with a single "l" (Bottrel instead of Botterel). The misspelling was never corrected, cementing the community's official title. The first postmaster was J.T. Boucher, who held the position until 1918. The post office remained in operation until March 1969.

After passing through various owners, the local ranch land was bought in 1905 by John Thomas Boucher. In 1908, Boucher constructed a cheese factory and opened the Bottrel General Store. This spared local homesteaders a grueling trek to Crossfield or Cochrane for provisions and mail. As the local farming and ranching population grew, a community hub became necessary. The Dog Pound Hall was built in 1913 to host social functions, dances, and meetings. Decades later, in 1967, a modern Quonset-style hall replaced the aging structure to continue serving the community.

The centerpiece of the hamlet's history is the Bottrel General Store, widely recognized as Alberta's oldest continually run general store of its kind (with origins dating back to the turn of the 20th century). Situated just off Highway 22 (The Cowboy Trail), the historic store, cafe, and adjacent campground along Dogpound Creek operate as a popular destination for travelers, history buffs, and weekend explorers looking to step back into Alberta's pioneer past.