The history of the Holy Nicholas Church, located in the center of the ancient village of Kapustin-Yar, is full of mysteries and enigmas dating back to the early 19th century. Originally, a stone church was built on the site of the current temple in 1817, which stood until 1890. The reasons for its dismantling remain unknown; it may have become cramped or dilapidated. In 1895, a new church was erected in its place, also consecrated in honor of St. Nicholas the Wonderworker. The side altars were dedicated to the Dormition of the Mother of God and St. Basil the Blessed. The church, built in an eclectic style, was designed by an unknown architect, presumably of German origin. The parish priest, Father Herman Gladychev Yuri Yuryevich, believes that the project belongs to the famous Moscow architect Fyodor Osipovich Franz-Albert Shekhtel, but there is no confirmation of this. Next to the church stood a two-tiered bell tower with large bells, the sound of which could be heard for many kilometers, and it was impossible to talk near the bell tower. A church parish school operated at the church, and the territory was surrounded by a beautiful metal fence. In the late 1920s, the church was desecrated: the Bolsheviks destroyed the dome, demolished the iconostasis and icons, removed the bells, and tore down the bell tower. Some icons were saved and later transferred to the St. George Church from the village of Solyanka. The church avoided complete destruction as it was repurposed into a cultural center. During the Battle of Stalingrad, it housed a hospital.

A local resident, a descendant of the merchant Smolyakov family, shared an interesting story about the church. His grandmother said that before the revolution, there was an underground passage from the church to the river. Underground passages also existed in the merchant mansions around the church. In one of these undergrounds, during the Civil War, a detachment of White Guards allegedly hid. The purpose of these passages is unknown, but their existence is confirmed: in one of the abandoned houses near the church, there is an entrance to a dungeon made of ancient bricks. Due to the risk of collapse, it is impossible to explore it without special equipment.

Another story is related to the floor of the church, laid with patterned ceramic tiles. In two places near the altar, the tiles are missing, and these spots are filled with stone blocks. According to the storyteller, these are traces of desecrated burials of clergymen. Whose remains rested there is unknown, but one burial has survived, a crypt with the relics of an unknown clergyman under the altar. The church holds many mysteries, including what it looked like before its desecration. No ancient images of it have survived to this day.

The partially ruined church building was returned to the faithful in 1992, and since then, restoration work has been ongoing. Despite significant changes in its architectural appearance, the church looks majestic and harmonious.