Sparrovale was named after Edward Rogers "Ned" Sparrow, a former secretary of the Geelong Racing Club. He was born in 5 July 1847 to Edward Rogers and Jane (née Bruce) Sparrow. He was reputed to have been the first student to enrol at Geelong College. In 1882 he married Anna Maria Wilson and lived at 35 Villamanta Street, Geelong West, a large "B" listed heritage property. He died on 1 October 1918 at East Melbourne.
On 1 August 1864 250 acres in Marshall was leased to the trustees of the Geelong Racecourse. This area was extended on 1 April 1870 by 202 acres. With a further allotment added the total area of the reserve was 630 acres. A rail line which diverged from the main line a short distance south of Marshall then ran straight for slightly over one mile, crossed the Mount Colite Road (now Barwon Heads Road) and curved to the north into the racecourse grounds. The siding, which could accommodate twelve carriages and an engine, was situated behind the grandstand. A platform, 340 feet in length and 25 feet wide was completed. The first race meeting to utilise the railway facilities was held on Friday 1 February and Saturday 2 February 1878. On both days a special train left Melbourne at 10:15 am stopping where required on both the down and up journeys. Trains also ran to Geelong from Ballarat and Colac. On the first day about 1000 people travelled on local trains from Geelong to the racecourse platform. One train with thirteen carriages got stuck in the tunnel and needed another locomotive to help it along its way. The Geelong Racing Club held races at Marshall until 1908 when it moved to its present site at Breakwater.
Sparrovale was set up as a model farm using best farming methods. The land was drained and irrigated and a levee bank installed.
A clearing sale of bloodstock was held on 1 March 1944 under instructions of WH Bailey and also the trustees of the estate of his father Stephen Bailey, who had died on 18 October 1943 at Suma Park, Queenscliff. Top price paid was for "Much to Say", a brown mare, bought by Mr McMeekin of Geelong for 205 guineas. "Patricia Lorraine", a brown mare, went to Mr PM Darcy of Birregurra for 67 guineas.
In 1955 the property was sold to CO Lorimer for £70,000. In 1964 it was again sold to the Perkins family partnership, Sparrovale Pastoral Company.
It is now thought that a large wetland system to protect against flooding in Armstrong Creek will be needed. This will abut the Ramsar listed wetlands. More than 500 hectares will be required to create the wetland before housing can begin in the "Horshoe Bend" precinct. These wetlands are to be known as Sparrovale.