Peace Dale was founded by Rowland Hazard I and was named for his wife, Mary Peace, of South Carolina.
The stone mill buildings were constructed between 1847-1883 and were known as the Peace Dale Manufacturing Company.
They produced linsey-woolsey, the woolen Peace Dale Shawl and other goods that were sold mostly in the south.
In 1918, the Hazards sold the mill to M.T. Stevens of Mass and it closed in 1948. Palisades Industries purchased the mill in 1966 for textile finishing and dyeing.
It was placed on the National Register of Historic Places in 1987.