Lisbon was at the intersection of Lancaster and Ann Arbor roads six miles south of downtown Dallas in south central Dallas County. The first settlers in the area were J. Cole, James Ray, and F. Sadler, who received land grants in the Peters colony. James K. Sloan, an Arkansas native, arrived with his family before 1843 and received a 640-acre grant a mile east of the site. He was soon joined by his brothers Samuel and Robert and their families. Eventually the brothers were granted or bought more than 4,000 acres west of the Trinity River. Though settlers lived in the Lisbon area beginning in the 1840s, the developing community only became known as Lisbon in 1870, when it received a post office. It was named for Elizabeth (nicknamed Lisbon) Williamson, who later kept a hotel at the community. James P. Sherick was the first postmaster. Though the post office was called Virginia from 1871 to 1874, the community continued to be called Lisbon. Around 1870 the intersection of Lancaster and Ann Arbor roads, which were then wagon roads, became the community's business district. A building to be used as a church and school was built, and a cemetery was established. Lisbon was the first stagecoach stop out of Dallas toward Central Texas.
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