Legend has it that when the Spanish arrived, they destroyed the temple of Cuaulitzin (also known as Tlanchana), and built the church of San Juan Bautista in its place. Shortly after the Spanish conquest in the 16th century, Coatetelco became part of the Marquesado del Valle de Oaxaca, land was expropriated, and sugarcane planting began. In 1701 the hacienda owners built a dam and established a "trapiche" (sugar mill). About the same time they established a cattle ranch called "La Estancia" (The Station).