The Steam Tram and Railway Preservation (Co-op) Society Limited, trading as the Valley Heights Steam Tramway (VHST), was established in 1954. The society restored and operated a steam tram in Parramatta Park until the depot was destroyed by fire and the rolling stock severely damaged. The society was not able to re-establish there and subsequently was invited to join with the Blue Mountains Division of the NSW Rail Transport Museum in the Valley Heights Locomotive Depot Heritage Museum (VHLDHM) that was being established in the disused roundhouse.

The society is restoring an 1890s steam tram motor and trailer car. The project is close to completion and is expected to be ready for the Sesquicentenary celebrations of the NSW Railways in September 2005.

The VHLDHM is open on the first and third Sundays of the month from 10 am to 4 pm. An admission charge is made for entry. Light refreshments, books, videos, etc., are available. Handicapped facilities are available.

The VHST operates track maintenance vehicle rides on the first Sunday, whilst steam locomotive footplate rides are offered on the third Sunday. An additional charge is made for rides.

The VHLDHM is located in Tuscalum Road, Valley Heights, an easy walk from the Valley Heights railway station.