The breed was developed in Iowa during the early 20th century, beginning with a cream-coloured mare named Old Granny. The Great Depression threatened the breed's existence, but several breeders worked to improve the color and type of the breed, and in 1944 a breed registry was formed. The mechanization of farming in the mid-20th century led to a decrease in the breed's population and the registry became inactive for several decades. It was reactivated in 1982 and population numbers have slowly grown since then. However, population numbers are still considered critical by The Livestock Conservancy and the Equus Survival Trust.