Silver City was founded in 1857 by the Grosch brothers; however, it was not until the Comstock discoveries in 1859 that Silver City began to grow. By 1861, the town had 12 stores, 4 hotels, 3 blacksmith shops, 2 butcher shops, a post office, and numerous saloons serving a population in excess of a 1,000 people.

Although mining was attempted, it was not productive since the Comstock lode ended just south of Gold Hill, Nev.  As a result, the town became known for the milling of the Comstock ore and a teamsters center. Hundreds of horses and mules were corralled in the area and used to haul freight and ore.

The town is located about 8 miles from Carson City on state highway 341 between Carson City and Virginia City.  The cemetery is located east of town.