David and Heather Watson established Woodlands at Wilyabrup in 1973. One of Margaret River's first wineries, Woodlands was reinvigorated in the early 2000s by the Watsons' sons Stuart and Andrew joining the business.

Bordered by the Indian Ocean to the north and west, Woodlands owns two vineyards in the Wilyabrup Valley. In 1973 they took cuttings from a nearby vineyard and planted their first rows east-west along the site's contour. They mainly grow Cabernet Sauvignon and Bordeaux blending varieties. They established their second vineyard in 2001. Their dry grown vineyards, situated alongside tributaries to the Wilyabrup Brook, emulate the great vineyards of Bordeaux.

Woodlands' premier Cabernet Sauvignon is made from the original 1973 planting. It leads the Woodlands Vineyard series. The Woodlands Brook Vineyard and Wilyabrup Valley wines follow.