A Canadian Pacific Railway station was located and named Bearspaw in 1909. The Bearspaw name originates from Chief Bearspaw, who was head of the Stoney Nations. He was an influential negotiator and signatory for the 1877 Treaty No. 7.

The Bearspaw area was settled mainly by dairy farmers. The first schoolhouse in the Bearspaw area had one classroom and was built in 1920 and it remained open until 1965. Bearspaw grew to include a mixture of farms and ranches, acreages and planned subdivisions.