Rinchen from Lungo village in Gasa Dzongkhag (district), tells us that the Laya Lungo Lhakhang was built for a purpose similar to that of Paro Kyichu Lhakhang, Bumthang Jambay Lhakhang and Drowo Lungo Lhakhang. It is believed that the Tibetan king Songtsen Gampo built Lungo Temple in the seventh century, at the same time as he built those other temples. The temple is an important communal center for the people of Laya Lungo and their religious activities. The major sacred relic in the temple is a statue of an eleven-headed Avalokiteshvara (Chuchi Zhel — Bodhisattva of compassion) surrounded by the sixteen sthaviras (Nyeten Chudrug — Sthavira nikāya was a Buddhist school that split from the Mahāsāṃghika school).