The Murphy Windmill was built in Golden Gate Park between 1905 and 1907, a gift to the City by Samuel G. Murphy. It is the second of two windmills built in the Park, the first being the northern Dutch Windmill, which was constructed in 1902. The Murphy Windmill is commonly believed to be the largest windmill of its kind in the world.

The Murphy Windmill and Dutch Windmill were said to have pumped up to 1.5 million gallons of water every day, transforming the existing sand dunes into a green oasis. Prior to the construction of the windmills, the City of San Francisco hired sprinkling wagons to haul water through the park and irrigate the land. The windmills were no longer used after 1935 when modern irrigation systems were installed.

A 1947 restoration included minor repairs to the structure and replacement of the sail stocks.

In 2002, the Recreation and Parks Department began a three-phase construction project that involved cataloging every piece of the mill, dismantling of the wood and iron elements, salvaging pieces that could be reused, and restoration of the cap structure. The cap elements were transported to Holland by ship and reconditioned by the Dutch millwright Lucas Verbij. The copper dome and fantail were restored to match the original design and details.

The second phase involved rehabilitating the concrete base and the slate-clad tower, as well as installing the cap, sails, and gears. On September 12, 2011, the restored 64-ton cap was placed back onto the tower structure.

The third and final phase will include a water pumping system and landscape improvements.

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