The Town has a population of about 50,000 mostly Hindu and Sikhs, practicing various professions. The population of the town becomes twofold on every festival. Its area is about 4 square miles. It is 26 miles from Jalandhar and 17 miles from Kapurthala.
Sultanpur Lodhi was founded by Sultan Khan Lodhi a General (Faujdar) of Mahmud of Gazni, in the 11th Century A.D. It was named after its founder as Sultanpur and it has also been mentioned in en-a-Akbari. It is situated on the left bank of a rivulet, called Kali Bein about 6 miles above the confluence of Beas and Sutlej. During the time of Sikandar Lodhi, the famous Sultan of Delhi, Sultanpur was entrusted to Nawab Daulat Khan of Lahore. He gave a new landscape to the environment of this town and turned it into a Nakhilstan ( Green Patch) and Playhunt ( Shikargah)- The town itself was rebuilt by him. As it lay on the Grand Trunk Road, running from Delhi to Lahore, it flourished as a great business centre. Besides it was a great centre of Muslim way of Education as well. Dara Shikoh and Aurangzeb, sons of the Emperor Shah Jahan, are said to have received their higher education at the university of Sultanpur. It maintained its position as a centre of Muslim culture during the Moghal Regime.
After the fall of the Moghals, the Sikh Chiefs established their hegemony over various parts of the Punjab Sardar Jassa Singh Ahluwalia founded the principality of Kapurthala and made Kapurthala as his capital. It was left to his successor Sardar Fateh Singh to annex this historic town of Sultanpur to the state of Kapurthala in 1777. It has remained a part of the State of Kapurthala until 1951 A.D. when Kapurthala became a district of Pepsu. It is now a sub division of Kapurthala.
It is an important railway station on the Jalandhar-Ferozepore Rail line and its environment hold of a good tourist spot.