The town of Gregory traces its beginnings to 1886, the year the San Antonio and Aransas Pass railroad built a line through San Patricio county. The railroad and the local Coleman-Fulton pasture company joined forces to build a station here at a site known as Corpus Christi junction, a switch where the rail line turned toward Corpus Christi and branched off to Aransas Pass. By 1887 the junction was known as Gregory, named for Thomas W. Gregory, a friend of the Fulton Family and later U. S. attorney general. A U. S. Post Office opened on March 8, 1887, and the new community grew quickly, soon boasting stores, hotels, banks, and other businesses, as well as a school and several churches. As many as seven trains passed through the junction on daily round-trip schedules.
By 1900 the town's population had reached 400, and the community received another boost when the Coleman-Fulton Pasture Company relocated its main office here from Rockport. The company built the 3-story green hotel in 1909, and many train travelers relied on Gregory as a stopover point. Although the company headquarters and the Green Hotel both relocated to taft in the 1920's, the town survived and remains a viable residential community.