Elsmore was founded in 1888. Like its twin community, Savonburg, Elsmore owes its existence to the railroad. Both were populated to a substantial extent by immigrant families from Sweden. Like Savonburg, Elsmore prospered in the horse and buggy days and began to fade when the automobile came on the scene. Elsmore was only open prairie until the railroad built a depot in the center of Elsmore Township in 1888 and established a telegraph office and stock yards. The town grew around the railroad depot. A grain elevator, a lumber company, drug store, hardware store, and dealers in coal, furniture, buggies, farm implements, millinery, a laundry, blacksmith and hotel were established. Schools and churches followed.

Eventually the population declined, the high school closed and students were bussed to larger centers. Downtown Elsmore has faded to almost nothing. Like Savonburg, Elsmore boast a few dozen houses and offers its residents the peace of living in the country and good neighbors.