The Ellendale-to-Milton line was built by the Pennsylvania Railroad in order to give industries and local towns in the area direct railroad access to Wilmington, DE. Unsuccessful, the line was sold to the Queen Anne's Railroad, who intended to extend the line to eastward to Rehoboth Beach. However, QARR went bankrupt in 1904 and the line's extension was never realized. The line then sat unused for nearly 40 years.
In 1940, the Delaware Coast Line Railroad purchased the line in order to utilize it for both freight traffic and a tourist railroad. However, it only saw light traffic, and in 1973, the decision was made abandoned the line outright.
Today, it can still be easily located as it sits peacefully among tall grasses; low population growth around the tracks has allowed the tracks to remain in near-perfect shape.