It was founded by Thomas R. R. Cobb, and named in honor of his daughter, who had died of scarlet fever[2] at age 14,[3] shortly before construction was completed and doors opened;[4] it was incorporated in 1859.

[8] The letter was written by Laura Cobb (Mrs. Williams) Rutherford,[9] who was "writing from a ladylike modesty" about the poor state of education for women in the South.

[8] Mildred Lewis Rutherford, or "Miss Millie", a graduate herself of Lucy Cobb Institute and a prominent white supremacist speaker,[13] took over leadership of the school in 1880.

The Georgia Writers' Project, in a 1940 publication on the state published in the American Guide Series, characterized her thusly: 'Miss Millie,' always a champion of southern traditions, was a woman of powerful personality, commanding presence, and fearlessly outspoken opinions; she was known widely for the speeches she delivered in hoop skirts.

In 1881, Nellie Stovall wrote "a beautiful and girlish letter"[14] to George I. Seney, who responded with the funding for the $10,000 structure, an octagonal red brick building called the Seney-Stovall Chapel.

Although the institute "became a well-known girls' preparatory school",[2] "praised throughout the South for its emphasis on gentle manners and old-fashioned accomplishments",[10] it "did not survive the depression",[2] and closed its doors in 1931.