The settlement was founded by fishermen and their families in 1926. In 1947 a telegraph and weather station were erected; the station itself employed roughly 20 people. At its largest extent, the settlement was home for approximately 120 people, with its own grade school. The village housed a seismic station until 1960, when it was closed down. Uunarteq was abandoned as a settlement in the mid-1980s, when the local weather station was closed. Today the remaining buildings serve as cottages for the inhabitants of nearby Ittoqqortoormiit. The last family left the settlement in 2004.