Daly's (Dalys), a farming community just off Farm Road 227 eight miles west of Grapeland in western Houston County, was established around 1850 and named for Thomas R. Dailey, an early settler. The Daly's Missionary Baptist Church was organized on July 1, 1853, and the community's first school was built a few years later. A post office operated at Daly's from 1876 until 1907. By 1885 the settlement had an estimated population of sixty, two steam gristmills and gins, and a general store, a church, and a district school. In the mid-1930s the community still had a church and a number of houses. After World War II many of its residents moved away, and by the mid-1960s only a church and a few widely scattered houses remained in the area. In the early 1990s Daly's was a dispersed rural community.