As is usually the case in the formation of a chapter of any fraternity on any campus, the Lambda Chapter of Phi Kappa Tau started with a small local organization developed by six underclassmen with common interests and close personal friendships. The original six, all agriculture students and sophomores, expanded their membership to fifteen and in the fall of 1919, they became recognized and accepted by the Purdue faculty by their chosen name Beta Xi Alpha. The members chose a small house at 1116 Brown Street as their meeting place. On the invitation of this group, Professor B.L. Hummel and Colonel F.W. Bryant became two faculty members.

During the summer of 1920, Beta Xi Alpha formally petitioned to membership in the Phi Kappa Tau Fraternity, which was then meeting in National Convention in Indianapolis. Then in the fall of 1920, Beta Xi Alpha expanded its number to twenty-five. On October 20, 1920, they were advised by telegram of the acceptance and the approval of their petition. They were to be granted a charter in the name of Lambda Chapter. At this time the fraternity was located at its first actual residence at 129 S. Grant Street.

The formal installment of the new organization was on November 19 and 20, 1920. The initiation ceremonies were conducted by the Grand President Dr. Edgar Ewing Brandon. He was later named the Grand Old Man.

In the fall of 1921, a move was made to 1018 State Street, where the chapter would be expanded. This is the present site of the Pi Beta Phi sorority and since 1921 the address has been changed to 1012 State Street. It was at this time the official chapter publication, The Lambdanite, was founded.

A building association was formed by the alumni in 1926 with Colonel F.W. Bryant as trustee and Alvin H. Huth (from Omega Chapter) as chapter advisor. Through it, the property at 516 Northwestern Ave. was acquired. Here the present house of Old English Half Timber architecture was constructed under the supervision of Colonel F.W. Bryant.

In the summer of 1934, Lambda was privileged to be host of the 25th National Convention of the fraternity. The Memorial Union was turned over to the group for the convention. The convention was notable as the first convention of Phi Kappa Tau to be held entirely on one campus, as well as the first such meeting at Purdue.

World War II resulted in the enlistment of most of the brothers in the Army and in 1945 Lambda was decreased to only one active civilian member. During the war, the house was leased to the Navy from 1943 to 1944 after which the Delta Gamma sorority leased until the reformation of the chapter by the veterans. The house was then reoccupied in June of 1946. A plaque bearing the names of those Lambdas who gave their lives during World War II was mounted in the Bum Room to honor their memory.

Lambda Chapter has furnished the fraternity with two national officers, Richard C. Lennox and Colonel F.W. Bryant. Lennox served as Grand Councilor from 1931 to 1939 and was the architect of the Memorial Headquarters Building in Oxford, OH. Bryant served as Grand Ritualist from 1923 to 1927. He also was chairman of the Ritual Coding Committee, composed entirely of Lambda members, and designed the present badge of the fraternity.