This town started as a stopping point for travelers and freighters that traveled between Butte and the Madison River. The town is the namesake of Shadan LaHood, a Lebanese immigrant who came to Montana in 1902. From 1902 to 1919, he traveled between Butte, Dillon, Missoula and Madison County in a covered wagon canvassing for a dry goods firm. In 1909, he and his wife opened a general merchandise store at Jefferson Island. He built a park there that bears his name.