In 1628, there were two wooden churches on this site: the tented Resurrection Church and the cell church of Cosmas and Damian. From 1645 to 1651, commissioned by K. G. Isakov, the wooden Resurrection Church was replaced with a stone one. At the end of the 17th century, the church of Cosmas and Damian was replaced by the stone Church of George with a bell tower. In the 1740s, a chapel of Cosmas and Damian was added to the church, and a fence was built. In 1799 and 1802, the Church of George was significantly rebuilt and consecrated as the Znamenka Church: the square base was raised with an octagonal drum topped with a decorative dome, and the facades received a new classical design. At the same time, a new bell tower was constructed. In 1859, the altar of the church was rebuilt. In 1888 and 1889, the Znamenka Church was partially reconstructed again, and a watchman's lodge appeared nearby.

In 1913, when Kostroma became the center of the celebration of the 300th anniversary of the Romanov dynasty, Tsar Nicholas II visited the Znamenka Church with his family.

In the 1920s, the Znamenka Church was closed. In 1937, its bell tower was destroyed, and the church, stripped of its domes and upper floor, became a grain storage facility. Later, a boiler room was set up in the church.

In 2001, restoration work began on the Znamenka Church. The bell tower, fully restored with the help of benefactors, was consecrated on September 26, 2001. The consecration of the church itself was conducted by Archbishop Alexander of Kostroma and Galich on August 8, 2009.

Only the main volume remains from the original architecture: the square base and the refectory. This is a typical local example of two-column churches with a northern chapel, known from sources of the late 18th century. The square base is elongated along the north-south axis and covered with a barrel vault. The refectory is close to a square and covered with box vaults with arches.

Elements of decoration have also survived. The wide pilasters at the corners of the square base and the cornice with drop-shaped niches and a ribbon are characteristic of Kostroma architecture of the 17th century. The refectory is decorated with pilasters between the windows on the side walls. The semi-circular apse with round niches above the windows and the ribbon of the cornice belong to late classicism. The interior decoration, iconostasis, and wall painting from 1891 have not survived.