The property took its name from a Norman baron called de Malavilla in the 12th century, and was held by the Melvilles. It passed to Sir John Ross of Hawkhead in the late 14th century, and was reputedly visited by Mary, Queen of Scots and may have been used by David Rizzio.
The Dundas family held the property until after World War II, during which the castle was used as a rehabilitation centre. Robert Henry Kirkpatrick Dundas is the 10th Viscount Melville.
The place was sold and then became a hotel but, although only abandoned in the 1980s, soon became derelict. In recent years, the building has been restored and refurbished, standing in a 50-acre wooded estate, and is now a boutique hotel.
The castle is reputedly haunted by the spirit of possibly Elizabeth Rennie, or perhaps another spectre of Mary, Queen of Scots.
During renovation, an apparition of a woman was seen to walk through a wall, later found to be a blocked-up door, and there are further reports of the sighting of the apparition.
One account of the ghost has it being seen mostly in the library bar or in room 108, and more often during the autumn or winter, and daylight hours.