The Duero formed the border between the Christian north and Al-Andalus, the Islamic south of the peninsula for a long time, but Sancho García, Count of Castile, conquered the Moorish fortress in 1013 and founded the town of Peñafiel. Until the conquest of Toledo (1085) it was one of only a few Christian outposts south of the Duero. Today it is a town of many wine caves ("Ribera del Duero") and a population of about 5.000.

The building dates back to the 13th century. In 1324, the Infante Don Juan Manuel had the present monastery built in the Gothic-Mudejar style. The church was completed in 1348.