The church was organized by Rev. L. S. Barton pastor of the Floyd Street Methodist Church (itself organized in 1874) which merged with the Haskell Avenue Methodist Church (organized in 1880) to form Grace Methodist Episcopal Church South in the fall of 1902. The first pastor of Grace ME Church South was Rev. Percy R. Knickerbocker and the assistant pastor formerly of Haskell Avenue Church was Dr. H. A. Bourland. In 1939, the Methodist Church North and Methodist Church South merged and the “South” in the name was dropped. The combined congregation worshipped in a temporary tabernacle erected to the back of the current lot until a more permanent building could be completed.
In 1968, the national Methodist Church merged with the Evangelical United Brethren to form the United Methodist Church. As a result, Grace Methodist Episcopal Church became Grace United Methodist Church.
Most of the current brick Sanctuary and Parlor was completed in 1903. Grace United Methodist Church is the oldest, dedicated-use Methodist Church still standing in Dallas. The photograph to the left is the original, completed 1903 building viewed from the southwest.
