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In the Mahabharata, Kinnara Kingdom refers to the territory of a tribe called Kinnaras, who were one among the exotic tribes. They, along with others, were inhabitants of the Himalaya mountains. The people of the Gangetic Plain looked upon them with wonder and considered them as super-human.
Kinnaras were mysteriously linked with horses. The Puranas mention them as being horse-necked beings.
The epic Mahabharata mentions Kinnaras, not as horse-headed beings but as beings who were half-man and half-horse (similar to the Centaur from Greek Mythology). The Mahabharata and the Puranas describe regions north of the Himalayas as the abode of Kinnaras. This region was also the abode of a tribe of people called Kambojas. They were fierce warriors skilled in horse riding and horse warfare. Some of them were robber-tribes who invaded village-settlements, by raiding them using their skilled cavalry-forces. The myth of Kinnaras probably came from these horsemen. Another reference in the epic considers them as a sub-group of the Gandharvas.
Territories of Kinnaras
Mandara mountain is said to be the abode of the Kinnaras: There is a mountain called Mandara adorned with cloud-like peaks. It is covered all over with intertwining herbs. There countless birds pour forth their melodies, and beasts of prey roam about.
Kinship with other exotic tribes
Kinnaras are mentioned as half-men and half-horses. They are described as kinsmen of other exotic tribes.
Kinnaras were mentioned along with other exotic tribes like the Nagas, Uragas, Pannagas, Suparnas, Vidyadharas, Siddhas, Charanas, Valikhilyas, Pisachas, Gandharvas, Apsaras, Kimpurushas, Yakshas, Rakhsasas, and Vanaras at various places. (1-18,66), (2-10), (3-82,84,104,108,139,200,223,273) (4-70), (5-12), (7-108,160), (8-11), (9-46), (12- 168,227,231,302,327,334,(13-58,83,87,140), (14-43,44,88,92). In the Ramnayana, the kinnars are mentioned along with the Devas, gandharvas, sidhas and Apsaras. The kinnars were an effeminate race, always represented as indulging in the amorous sports. In Manusmriti, Manu mentions that the sons of Atri are said to be the fathers of Daityas, Danavas, Yakshas, Gandharvas, Uragas, Rakshasas and Kinnars. 
- Note: The references like (1,18) refer to verses in the Mahabharata.
- Ancient Communities of the Himalaya By Dinesh Prasad Saklani, Indus Publishing, 1998