When George and Mary Hanna, along with their two sons and her brother, John Melrose, arrived at Prairie Rapids on July 18, 1845, Mary reputedly said, "The promised land is on the other side - we will cross the river." The next day they did. As they crossed the river, she also reputedly said, "Boys, here is where we will build our town." Her predictions were accurate in both cases.

The Hannas purchased 120 acres at this site, the highest point between Prairie Rapids and the falls of the Cedar. Mary Hanna had seen the site from the river crossing. This was her "promised land." They built a cabin and lived here for the next eight years.

The Hannas also purchased 65 acres of land on the west bank of the Cedar, at the point where the trail forded the river. Hanna did nothing with this smaller tract until 1852, when he built a log cabin. He rented it out for the first year, but moved his family there in 1853. His neighbors at the river site included in-laws Charles and America Mullen.

The Hannas returned to this more remote homestead many years later. By then Waterloo had become a thriving town. George Hanna built a new frame house a short distance east of his original cabin. There he and his wife spent the remainder of their lives together.