The area was uninhabited until 1872 when the Saginaw Valley and St. Louis Railroad developed into the area. A local resident named Greene established a sawmill here, and a new settlement began to grow around it. A post office named Greene opened on May 21, 1875. Merchants also moved to the area and began setting up businesses along a nearby crossroad, and this site became known as Merrill by 1881. The name came from N. W. Merrill, who was a railroad worker that befriended and assisted the locals during forest fires that same year. The Greene post office was renamed Merrill on November 2, 1881. Merrill incorporated as a village in 1889.
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