When a village grew up behind the temple, it naturally came to share its name. Treasure Hill sits in a water catchment zone and at an important gateway to Taipei. Consequently, when the Nationalist government relocated to Taiwan after World War II, it stationed troops on the hill and restricted the general public's access.
二次大戰後國府遷台，寶藏巖由於位屬水源區，並且是進出台北的地理要衝，軍方因此重兵鎮守，管制一般民眾進出。