Originally known as Cross Roads, Arapahoe is said to be named after the Indians or a racehorse of the same name. There is no record to prove its origin.

The community was settled early in the 18th century, soon after New Bern, which was settled in 1710. It was incorporated in 1920.

At Nottingham Point near Arapahoe, the earliest known gravestone in the county is dated 1745.