Before Appleton City was founded, this open prairie was used as hunting grounds by the Osage Indians and by French fur traders and trappers. When the Missouri Kansas and Texas Railroad reached the site on September 10, 1870, no town stood there, and the land was owned by William M. Prier. The town was incorporated on October 24, 1870, and was platted with a City Park and a wide Main Street. It was named Appleton City after W.H. Appleton, a New York City, New York, publisher, who told a citizen that if the town were named for him he would give 500 books and $300 for a library building, creating the third oldest public library in Missouri. When the railroad bypassed Hudson to the west, twenty-five houses, three businesses, and one church were moved there, beginning the town's growth. Over the years, Appleton City prospered through the abundant products of its fertile farmlands and the dedication of its business people, and in 2019 the Appleton City downtown Commercial District was placed on the National Register of Historical Places by the United States Department of the Interior.