Kildonan is situated on the southern coast of the Isle of Arran. There is a large sandy beach the length of the village, which is unusual for the geology of Arran where rocky beaches are far more common.

The name Kildonan derives from Saint Donan who is reputedly buried in the village. Early life in the village revolved around Kildonan Castle (sometimes referred to as Kildonan Tower). Once a royal seat, the castle passed hands between various Scottish nobles, before latterly belonging to the Hamilton family in 1544, by which time they were the Earls of Arran. The Tower was later sacked and burnt by the Earl of Sussex around 1558. Ruined remains of the building are still in existence.

The first church built in Kildonan was The Free Church. It could accommodate 700 people. Eventually the United Free Church gained favour in the village around the turn of the 20th century, but services continued in the Free Church until it closed in 1940.