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Several waves of immigration established Coconut Grove, the first in 1825, when the Cape Florida lighthouse went into operation and was manned by John Dubose. Dr. Horace P. Porter is credited for coming up with the name when in 1873 he rented a home from Edmond D. Beasley’s widow, who homesteaded 160 acres of bay front property. He lived there for only a year but during that time he established a post office which he named Coconut Grove. Around the same time the area saw an influx of Americans from the Northeastern US, as well as British and white Bahamian immigrants. The first hotel on the South Florida mainland was located in Coconut Grove. Called the Bay View Inn (later known as the Peacock Inn), it was built in 1882, on the site of present-day Peacock Park, by English immigrants Isabella and Charles Peacock, who had been the owner of a wholesale meat business in London. Coconut Grove’s first black settlement, in the 1880s, was established by Bahamian laborers who worked at the Peacock Inn. The Barnacle Historic State Park is the oldest house in Miami-Dade County still standing in its original location. It was built in 1891 and was home to Ralph Middleton Munroe, also known as “The Commodore” for being the first commodore and founder of the Biscayne Bay Yacht Club, an American yacht designer and early resident of Coconut Grove.

Formerly an independent city, Coconut Grove was annexed by the city of Miami in 1925. In the 1960s, bay-shore Coconut Grove served as the center of South Florida’s youth countercultural movement, notably hosting several love-ins and concerts (including a now-infamous Doors concert at Dinner Key Auditorium) during the latter part of the decade. The bohemian community continued to grow in Coconut Grove through the 1970s.

A surge of commercial development in Coconut Grove was driven by the construction of three major residential complexes during the late 1970s and early 1980s: Yacht Harbour Condominiums in 1975; Grove Isle, a condominium, club and hotel complex, in 1979; and L’Hermitage in 1980. This was followed with the opening of 2575 S. Bayshore Drive in 1982 and the 1983 opening of Grove Towers. Further development was proposed for Grove Isle in 2013.