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The Town of Lexington had its beginning on January 24, 1820 with the purchase of two acres of land from Anna Barbara Drafts Corley (Granny Corley) for establishment of a new court house and jail for Lexington County. Previously the county seat of government had been the town of Granby located where Cayce is today. Granby was a low, unhealthy area often flooded in the spring. Mrs. Corley's land was selected for its central location and its healthy atmosphere among the pine trees. The Town of Lexington grew up around the courthouse and was indeed called "Lexington Court House" until 1900. Most of the town's early settlers were descendants of older area families mostly of German ancestry. Prior to the Civil War, Lexington could boast of having the Lutheran Seminary, two churches, two newspapers, a small textile factory, a carriage factory and the usual businesses necessary for a courthouse town of that era. A municipal charter was issued on January 28, 1861.

In February of 1865 a wing of General Sherman's Federal troops occupied the town. Many of the dwellings and businesses were burned during this occupation. The town by 1880 had rebuilt its business district and a number of impressive new homes were replacing those lost in 1865. In 1890 the Lexington Manufacturing Company built the textile mill with its dam, pond and houses for the employees, all located on the eastern end of Main Street. Disastrous fires in 1894 and 1916 resulted in most of the business district structures being rebuilt of brick. In 1911 electricity for lighting was available and telephones before 1916. By 1927 a municipal water system was put into use. With post World War II prosperity Lexington has expanded into a thriving business and political center for Lexington County. 

  Census projections show the Town of Lexington moving from a population of 3,289 in 1990, to 9,793 in 2000, to a projection of 12,610 in 2004.

•  This indicates a population change of 2,817 more residents or a 28.8% increase in a period of four years.

•  This is compared with a 2.2% increase in the population of Cayce; a .5% increase in the population of Batesburg-Leesville, and a .3% decrease in the population of West Columbia .

•  The Town of Lexington is second among six areas designated as "hot spots" by Central Midlands Regional Council of Government on single family housing growth with 1,523 permits granted from 2000 - 2004.