[6][7][8] Elgin is also known as the Brick Capital of the Southwest[9] due to the presence of three operating brickyards in the mid-20th century (two of which are still open).

In 1871, the Houston and Texas Central Railroad (succeeded by the Southern Pacific Transportation Company) built through the area and established a flag stop called Glasscock named for George W. Glasscock, a local resident and Republic of Texas soldier who lived in the area in the 1830s.

These plans, however, were thwarted due to a major flood of the Colorado River in 1869, hence the rerouting of the railroad through what is now Elgin.

Elgin was incorporated, received a post office in 1873, and a Baptist Sunday school began meeting in a private home.

In 1885, a group of citizens met in Elgin to organize a new north–south railroad which would run from Taylor, the rail head for the Missouri, Kansas and Texas ("Katy") Railroad 16 miles (26 km) to the north, through Elgin to Bastrop, the county seat, 16 miles (26 km) to the south.

The following year oil was discovered 5 miles (8 km) southeast of town, but the strike was not large.

By 1910, Elgin was enjoying a period of great prosperity as families from out on the prairie and surrounding communities moved to town and built nice homes.

Elgin enterprise was stimulated during World War II by the proximity of the army training facility Camp Swift.

A third brick company was established in the town in the mid-1950s, lured by the high-quality clay deposits in the area.

In addition to the brick plants, a local sausage factory processed thousands of pounds of beef and pork a week; Elgin Hot Sausage continued to enjoy a widespread reputation, and Elgin rapidly became the most important agricultural center in Bastrop County.

In the mid-1980s, the Elgin Courier was still being published, the sausage had achieved wider fame, and two brick and tile plants were still in operation.

[citation needed] The climate in this area is characterized by hot, humid summers and generally mild to cool winters.

The Chamber of Commerce is located in the original 1872 Houston and Texas Central Railroad building.

The mural Texas Farm, by Julius Woeltz, is located in the Elgin Post Office.

Created as part of the 1930s Federal Arts Project, it depicts men harvesting vegetables and picking corn.