A Church of England was built in Signal Row on the corner of Yundah Street (), then the centre of the developing town. It was opened and dedicated on Sunday 12 December 1880 by Bishop Matthew Hale. It was a timber church and able to accommodate 150 people. It was designed by architect FDG Stanley and built by contractors Woodward and Betts of Brisbane. In September 1886 it was announced that it would be dedicated to St Nicolas, the patron saint of sailors and sea-farers, a common practice in seaside towns. In 1887 it was enlarged which involved re-orienting the building on the block so the chancel was to the south rather than to the original east. In 1930 the undercroft was enclosed with bricks to form a church wall. The church closed in 1988. The Queensland Government purchased the church and incorporated it into Shorncliffe State School but subsequently demolished it due to extensive termite damage. Its stained glass windows were preserved and are now in St Margaret's Anglican Church.