The Attica and Alleghany Valley Railroad was one of the predecessors to the Arcade and Attica Railroad. In 1836 the Attica and Sheldon Railroad was proposed, but no construction was even begun. On November 4, 1852 the articles of association were filed for the Attica and Alleghany Valley Railroad. The three-foot gauge railroad was chartered to run 74 miles from Attica to Olean. In 1853 the contract was let for construction and in 1853 and 1854 about 25 miles was graded between Arcade and Attica at a cost of $350,000. In 1855 construction was discontinued and the property was sold at foreclosure in February 1856.
The right of way remained idle until February 28, 1870 when the Attica and Arcade Railroad was organized and began purchasing the right of way of the Attica and Alleghany Valley Railroad.