The Caraleigh neighborhood in north Raleigh was founded in 1892 with the opening of a cotton mill, fertilizer plant and worker's town. The old textile complex, with its immense brick structures that continue to emanate a strong impression of a bygone period, is the community's focal point as of 2020, leading some to worry that Caraleigh's modernized structure conceals dark secrets. Cotton mills were at the heart of the South's frenzied pursuit of the defeated Confederacy's economic and psychological regeneration between 1880 and 1915. As Raleigh's greatest textile venture, Caraleigh itself was founded by a group of cotton investors. The origins of Raleigh's north-south divide can be seen in many economic, psychological, social and political perils. While the Downtown South project promises a bright future for Raleigh in 2020, a close examination of the city's economic and social stratification in the past reveals the city's unequal economic and social stratification, resulting in an affluent north Raleigh and a pauperized south Raleigh ghetto. This work illuminates previously unrecognized aspects of Raleigh's history, namely how an outskirt neighborhood shaped the city's development during the twentieth century.