The village, traversed by the River Guadalmedina, stands behind the city of Malaga in the passage between the Sierra del Torcal and the Malaga Mountains.
The village was founded by the Catholic Monarchs, although evidence of human settlements here since prehistoric times includes the cave paintings at Piedras de Cabrera. Casabermeja is located on the side of a hill next to the motorway which links Malaga with the north of Spain. It still retains its narrow streets of two-storey whitewashed houses, and its most noteworthy building is Our Lady's Church.
Just outside the village is the cemetery, notable for the originality of its interments, which has been declared a National Monument.
Archaeological remains confirming man's presence in Casabermeja since prehistoric times can be found in several parts of the municipal area, such as a location known as Piedras de Cabrera, home to cave paintings in various cavities in the rock. Relics from the Metal Age have been found in the hills of Lagar de Villanueva and Chaperas. The influence of the Romans is evident in the village centre itself. However, the village did not acquire any real significance until the Andalusi-Arabic period. Its present-day name appears to date back to these times, deriving from the Arabic Qsar Bermeja, meaning Red Castle.
The village was founded on its modern site by the Catholic Monarchs, and later confirmed by Queen Doña Juana (1529) and King Charles I (1550); in 1630, the inhabitants of Casabermeja were given permission to buy their village from the Crown.