This temple is believed to be more than 5000 years old. It is one of the 12 prominent Sree Rama temples in Kerala. Initially, the temple was under the control of the Paramana Brahmin family of Panniyoor village. It was a rich family and the temple also had lots of property. When this family found it difficult to manage the temple, it was taken over by the King of Cochin. In 1949 it came to be under the Cochin Devaswom Board. Though the deity here is believed to be Sree Rama, it is the idol of Maha Vishnu with four arms. There more is a legend that the idol was the one worshipped by King Dasaratha. Then it came to be in the hands of Sree Rama and Vivheeshana. During the Dwapara Yuga, when King Yudhishtira performed the Raajasooya Yajna, Khatolkachan, son of Bheemasenan went to Sree Lanka. Vibheeshana informed him that he was ready to accept Yudhistira as the Emperor and did not want to enter a battle. Khatolkacha wanted him to give the most precious thing in the land as a gift. As directed by an ethereal command Vibheeshana gave him the idol of Vishnu that he had with him. When Khatolkacha reached the place where the temple stands today, he consecrated the idol there as directed by Lord Krishna. The place came to be known as Khatolkachapuram which later became Kadavaloor. Khatokacha had another idol of Vishnu with him and he consecrated it at Elavally, near Guruvayoor. This temple is known as Matte Kadavaloor Temple. (The other Kadavaloor Temple). The Kadavaloor temple is famous for the Anyonyam that is conducted here. It is a contest for the experts in Rig Veda. It used to be a contest between the Vedic students from Thrissur and Thirunavaya. As Thrissur was under the King of Cochin and Thirunavaya under the Zamorin, it was a contest of honour between the two warring rulers. Though this 400-year-old ritual was stopped in 1947, it has been revived since 1991.