A cheese factory had been established here some time after 1871 by Lyman Beach before being bought by Murdock Gair in 1882. The factory continued in operation under numerous owners until 1947.
The cheese factory operated 6 days a week from spring to fall and closed for the winter. The factory was quite successful over the years. J. W. Fretwell, who bought the factory in 1909, built the residence at 10 Water Street. At peak periods, 35 90-pound cheeses were produced daily. The Oxford Mills Cheese Factory Association was formed in 1946, but snow loads caused the roof to collapse in 1947.
The factory was not rebuilt.