The canyon was formed in prehistoric times by the Melendiz River. It lies between the villages of Ihlara in the southeast and Selime in the northwest. At the north end of the village of Ihlara, there is a stairway with almost 400 steps, which descends over 100 m down into the canyon. From the 7th century AD, the valley was settled by Byzantine monks who dug their houses and churches out of the tuff stone, which had been deposited by the eruptions of Mount Hasan. The earlier Greek name, Peristrema of the village of Belisarma which is located about halfway along the valley from Ihlara to Selime, gave its name to the valley as well.
Kokar Church: The single-nave church has a barrel-vaulted ceiling. Visitors now enter from the east through the ruined apse. The original entrance was the steep, curved tunnel in the back right corner. The tunnel connected to other rooms north of the church, seen from the staircase. The narrow tunnel ascending into the dark cave church created a unique procession into worship. This unusual layout was the only way to build an east-facing apse into the rock face on this side of the river.