The history of the development of what is now known as Sequoyah Hills is one of pre- and post Depression era Knoxville and its first residents ranged from real estate agents to coal magnates.

The area around the present day Sequoyah Hills neighborhood became part of the city of Knoxville in 1917. In 1891, the area that is now Sorority Village was surveyed to become a neighborhood called Cherokee Park. That neighborhood was never developed., but in 1925, E.V. Ferrell bought a large tract of land and began developing Sequoyah Hills. The development included underground utilities and a wide boulevard, Cherokee Boulevard.

In 1926, Robert L. Foust, a partner with the Alex McMillan Co,, a real estate firm, purchased 100 acres adjacent to Ferrell's Sequoyah Hills and began developing a separate neighborhood called Talahi. Features included concrete streets, fountains, parks, and a commercial center, Council Points, at Keowee and Kenesaw avenues, all in Native American design motif. Home plans were restricted to English, Early American, and Colonial styles.

Simultaneously, smaller contemporary neighborhoods developed around the Talahi and Sequoyah Hills developments, as well as in other parts of the city, including Holston Hills, North Hills, Druid Hills, Island Home, and Fairmont/Emoriland.