Nestled in the shade of the Ashwood Forest, Ashenvale grew out of necessity. It originally started as the ruins of Dragonrest Keep. Once the adventuring group known as the Ashen Order cleared out the keep and claim it as their own, they began hiring tradespeople to assist in the repairs. Those tradespeople set up camps surrounding the Keep. As time went on, those camps became settlements. The Ashen Order brought more trades in to help support those already there. Soon, a town sprung out of the ruins of Dragonrest Keep.
The population is mostly humans, with some forlorn elves taking up residence as well.
The town was developed through the Ashen Order providing the gold and resources. However, since they are still an active adventuring group, they would not always be around to properly govern the day-to-day operations. Therefore, the town held an election and voted in a mayor. This mayor would handle the operations of the town, governing under the authority of both the people and the Ashen Order.
Over a hundred years ago, a blue storm dragon named Jembodorith, Destroyer Of Men terrorized the countryside feeding on humans and elves alike. He was stopped when a bronze warrior dragon, Vylaentu, brought the humans and elves together and aided Vylaentu in stopping Jembodorith once and for all. However, Vylaentu was gravely injured in the battle and returned to his hoard to recover. Sadly, greed overcame gratitude and many of those who had fought alongside the dragon followed Vylaentu back to his lair and killed the helpless dragon. With the dragon's fortune, they built Dragonrest Keep. Before the keep could be completed, vengeance was delivered by a band of wyvarans who killed the inhabitants of the keep, tore down its walls, then disappeared into the night. Dragonrest Keep remained abandoned in ruins for decades until the Ashen Order arrived. They cleared the ruins, had the ruines blessed, and rebuilt the keep.