Is There a “Midget Town” in Palm Springs? | Local Myth Explained

If you’ve lived in the Coachella Valley for any amount of time, you’ve probably heard someone bring up Palm Springs “Midget Town.” The story is usually delivered with confidence, vague directions, and a strong implication that the speaker knows more than they’re willing to say.
So let’s clear this up properly: there is no hidden community of little people living in a secret compound above Palm Springs. What exists instead is a long-running local rumor built around real houses, selective details, and decades of repetition.
Is there a “Midget Town” in Palm Springs?
No. The place commonly referred to as “Munchkinville” or “Midget Town” is an urban legend. There is no documented settlement, no themed neighborhood, and no historical evidence supporting the existence of such a community.
The rumor survives because it borrows just enough real-world detail to sound plausible, especially to people unfamiliar with the area.
How old is this rumor?
Versions of this story have circulated locally for decades. Long before social media amplified everything, this was the kind of rumor passed along at parties, in high school, or during late-night drives through the hills.
By the 1980s and 1990s, the story had already solidified into something “everyone had heard about,” even if no one could ever confirm it. Like most durable urban legends, repetition eventually replaced verification.
What the rumor is actually based on
Most versions of the story point toward the Araby area in the hills above Palm Springs. This is a real neighborhood with legitimate architectural and historical significance. Some of the homes there:
- Are smaller than typical Palm Springs estates
- Were built decades ago using site-specific materials
- Are tucked into rocky terrain, away from main roads
Those characteristics are enough to spark speculation. Over time, “unusual” became “intentional,” and “intentional” turned into mythology.
Why Palm Springs is especially good at producing myths like this
Palm Springs is uniquely well-suited to rumor creation. The city combines:
- Hillside neighborhoods with limited visibility
- A long history of private estates and gated properties
- Architectural experimentation that doesn’t always look familiar
- A reputation for celebrity secrecy
Put all of that together and you get a perfect environment for stories that sound believable but fall apart under scrutiny.
The Wizard of Oz angle, explained
One of the more persistent variations of the rumor claims the homes were built for actors from The Wizard of Oz. This theory doesn’t survive even basic timeline checks.
Many of the homes associated with the legend were constructed in the 1920s and early 1930s. The Wizard of Oz was released in 1939. There is no historical documentation, property record, or credible source linking the film or its cast to the area.
For reference, the Palm Springs Historical Society maintains extensive records of local development and architecture. None support this claim.
What the houses are (and what they are not)
What they are
- Real, privately owned homes
- Historically significant desert architecture
- Part of an established hillside neighborhood
What they are not
- A gated or secret community
- Designed for little people
- Abandoned or restricted
- Themed, symbolic, or hidden from public record
If you want the shortest possible explanation: the bottom half of the story is real, the top half is not.
Can you rent one of the houses people associate with the myth?
At various times, some homes in and around the Araby area have been available as short-term rentals, depending on ownership and local regulations. Listings occasionally reference the urban legend by name, almost always as a marketing hook rather than a factual claim.
Renting one of these homes means staying in a small, historic desert residence with privacy, views, and access to nearby hiking. It does not come with secret tunnels, themed décor, or mythical neighbors.
Why the rumor refuses to die
This legend persists because it has all the ingredients of a durable local myth:
- A real place that feels secluded
- Architecture that looks different from expectations
- No official sign saying “this isn’t a thing”
- A good story to tell visitors
The lack of proof becomes part of the appeal. If no one can confirm it, the story stays alive.
Bottom line
There is no Palm Springs “Midget Town.” There is a real hillside neighborhood with historic homes that has been wrapped in folklore for decades. The rumor survives because it’s been repeated often, not because it’s true.
If you need a one-sentence answer to pass along: it’s an urban legend based on real houses, not a real hidden community.
Note: This article addresses a long-running local rumor. Terms historically used to describe the myth may be offensive and appear here only to explain search intent and folklore, not to endorse the language.
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Written by : Casey Dolan
Casey is the founder of Cactus Hugs and also works with local businesses on their websites and digital marketing. Learn more (and hire!) him here. Please, send him your news tips and your whiskey!




