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Formerly (during the Council Era) known as Kelvintown, after the pre-Cataclysm mage/lord who made his home there along with a small, sleepy village. It was Kelvin who gave the Refuge Seekers and the refugees of the Cataclysm War permission to settle the city named as Kaelthia, separated by the flanks of what is now known as Mt. Refuge.

During the Council Lands period, a dwarven-engineered tunnel was carved from Old Kaelthia through Mt Refuge to Kelvintown. In 205 AC, the Catalysts took possession of Kelvin's (who had passed away about 15 years previously) manor, Hound's Rest and made their base there.

After the Crystal Spire War, the Adventurer’s Guild claimed the town as part of a settlement, shifting the Portal Network node located there a short distance from Hound's Rest and building administrative facilities there. It became known as Guildtown, second administrative center of the Federated Nations after Fort Hope. The Catalysts continued to be based there officially, although in reality Vassarian Kabir was the primary resident, with the others having their own homes.

All the gate-based traffic for Kaelthia (up until the embargo in early 251 AC) passes through Guildtown. Officially it is an independent enclave rather than part of the Holy Kaelthian Republic.