Villahoz lies on a flat landscape, surrounded by fertile meadows known as Vega del Arlanza, and hillsides dotted with wineries that form one of the area’s principal sources of income.

The town dates back to the 10th century, when the Arlanza Valley was repopulated. In 1501 it was visited by the Catholic Monarchs, and in 1584 King Philip II proclaimed it the Town of Villahoz. One of the buildings on Calle Real bears a coat-of-arms featuring the Papal Tiara and the Keys of Heaven, indicating that it was the seat of an archpriestship.

The town boasts a number of historic sites of interest; the Tower of La Asunción can be seen some distance away, and the medieval layout includes the Tower arches and fountain that stand at either end of Calle Real, indicating the position of the wall that once surrounded the town. This street is lined with various noble houses, all fine examples of the local architecture.