The Madai Vadukunda Shiva Temple is believed to have been constructed by "Kolathiri" Kings during medieval period on a plateau land generally known now as "Madai Para" Kannur Taluk. This is situated 22 kilometres north of Kannur, the Head Quarter Town. The "Kolathiri" Kingdom is an inherent branch of erstwhile "Mooshaka" Dynasty, which ruled "Ezhimala" empire during 5th to 8th Century. About 1200 years back a branch of their dynasty migrated and settled down at Madai, which was then an important port and trading center, 4 kilometres south of Ezhimala. They constructed castles and temples and established their head quarters on "Madai Para", a significant plateau land lying at about 150 feet above sea level having sight to an extent of 20 kilometres from all sides. Sree Vadukunda Siva Temple was thus constructed on "Madai Para" in the southwest corner of it at a holy spot due to the presence of the divine power of "Swayambhoo" of lord Siva.