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The club was founded in 2013 as UD Granadilla Tenerife Sur and started playing its first season in the second division. It won its group but was finally eliminated in the promotion playoffs by Granada. In its second attempt, the club finished as runner-up of the Canarian group, but qualified for the promotion playoffs as the best second-placed team. Granadilla achieved the promotion to the top tier after eliminating Levante Las Planas and Real Betis.

In its debut in Primera División, Granadilla performed a great season by finishing in the seventh position of the league table and, subsequently, qualifying for the Copa de la Reina, where it was eliminated in the quarterfinals by Valencia.

In November 2016, the club created a basketball section that made its debut in the 2016–17 Canarian regional league with the name of UD Hotel Médano, for sponsorship reasons. The football team repeated qualification to the Copa de la Reina and reached the semifinals.

In the 2017–18 season, UDG Tenerife made their best performance ever and finished the league in the fourth position and repeated presence in the semifinals of the Cup competition.

In 2023 they relocated from Granadilla de Abona to Adeje. Both municipalities are in the south of the island, but the club plays landmark matches at the Estadio Heliodoro Rodríguez López in Santa Cruz de Tenerife.