The Pakostane area was already inhabited in the Stone Age. The beginnings of today's village fall into the first decades of the 15th century. During the Croatian-Hungarian kings, the place was called Pakosene.

To this day, visitors can see the remains of ancient settlements, the villages of the wealthy patricians and the remains of Roman breakwaters in the sea. The village of Pakostane has a great historical significance as well as the island of Vrgada, which is described by the aforementioned Byzantine emperor Constantine Porphyrogenitus. Also Vrana has a key role in Croatian history. There is a fortress and a temple of the Knights Templar.

Lake Vrana has been an important economic element since time immemorial, with attention not only to beauty but mainly to drinking water.