This temple was built as a tribute to the Chidambaram Natarajar temple, also called Thillai, which was located in a mangrove forest. It's possible that Radhanur was also a mangrove forest in the past. Besides this connection, there is no known legend or story about the temple.
This west-facing temple is believed to be nearly 1000 years old, from a time when the Pandyas were possibly ruled by the Cholas. The architecture, especially the design of the pillars in the mandapam, suggests it was built during the late Chola period.