The Lion's Hill velvet worm has only been recorded from the type locality; Signal Hill (also known as Lion's Hill), South Africa, where it was found under stones in small ravines. Signal Hill is situated amongst Fynbos habitat. Peripatopsis leonina was previously considered extinct but is currently listed as Critically Endangered on the IUCN Red List, on conservative grounds that it may still be extant but merely undiscovered. Habitat loss and degradation are thought to be the reason for the species' decline.