The original venture into textiles proved to be so successful that in less than seven years, MCM could no longer fit its operations in the North Church Street mill. MCM pieced together a vast tract of farmland from the heirs of John Gracy Templeton. The tract consisted of several hundred acres of farmland at the southern end of the incorporated limits, bordered by East Wilson Avenue to the north, the rail line to the west, and running out into woodland gullies and creeks to the south and east. There, where South Church Street ended, at Davidson College Road just past East Wilson, MCM constructed a new, state-of-the-art mill running perpendicular to Main Street, known as Mill no.2. The area would develop over the next couple of decades into a sprawling industrial tract surrounded by a vast company village of several hundred homes, complete with churches, ballfields, and commercial venues.
The proposed historic district is the 400+ home village which grew around this second incarnation of the Mooresville Cotton Mills, on South Church Street.