On June 4, 1885 Star City was platted at a site just east of the location where Santa Fe was later established (across the current US 83).

Shortly thereafter a company bought the Star City townsite and renamed the community after the Santa Fe Trail (which passed about 5 miles [8.0 km] to the north).

However, within a few years the population of Santa Fe (and Haskell County) began a steady, but fairly rapid decline.

Over the next five years, the majority of the remaining town residents (about 300) left the community, with most moving to Sublette (along with many of their houses and other buildings).

[3] In addition to moving closer to the railroad, which passed through Sublette, the decline may have also been affected by the Spanish flu (1918 influenza pandemic).