The Aluvihare in Matale is so famous because it was at this place that the Tripitaka was written in palm leaf books during the reign of King Walagamba II. This Matale Aluvihare dates back to the reign of Devanampiyatissa before the reign of Walagamba. Evidence of this is not uncommon in the temple. Several inscriptions belonging to the reign of Devanampiyatissa can be seen in this temple.
Ven. Mangala Keerthi Sri Saranankara (then the Chief Sangha Leader of the Matale District) who resided at the Alu Vihara from 1896 to 1934 renovated the Palle Maluwa Gal Cave Temple and the Uda Maluwa Stone Cave Temple. Saranankara Thero also erected a stone pandal at the junction of the lower courtyard and the upper courtyard.