Peyton was not altogether satisfied with his treatment by Stephen F. Austin but applied for land in the Austin colony; in 1827, as one of the Old Three Hundred settlers, he received title to a league on the east bank of the Colorado River, about three miles northwest of what would become Lake Austin, in an area that became Matagorda County. Peyton operated a ferry and freighting service and had a tavern at San Felipe. He died in San Felipe in May 1834, leaving his widow and two children, Alexander and Margaret. An inventory of his property at the time of his death included eight slaves and four town lots in San Felipe. Mrs. Peyton operated the tavern until San Felipe was burned in 1836. Subsequently she moved to Columbia, where she married Jacob Eberly.
NoteUnmarked. During the Texas Revolution, the town of San Felipe was largely destroyed by Mexican troops chasing after the Texan army. Nothing was spared, not even the town graveyard. The majority of those buried here prior to 1836 are no longer marked, so although Jonathan Peyton is known to be buried here, the exact location has been lost. The photo below shows the oldest section of the cemetery where it is possible he still rests.
San Felipe de Austin Cemetery