The configuration of the hills in a semi-circle, reminding of an arch, ended up by motivating the first settlers to call Arco da Calheta (Calheta arch) to this civil parish in the Calheta municipality.

The settlement of the civil parish of Arco da Calheta, took place between 1425 and 1461.

Arco da Calheta, separated from Calheta in 1472, established its headquarters at the chapel of S. Brás.