The Our Lady of Mount Carmel Church was established in 1907 to serve the needs of newly arrived immigrants from Italy. The first Mass was celebrated on Sunday, September 8, 1907. A wooden structure served for worship until 1937, when the current church and rectory were constructed. The Religious Sisters Filippini arrived in the church in 1939 and were housed in the former rectory until 1961 when a house on 102 Pine Street was purchased for use as a convent. They remained in the church until June 1971.
Our Lady of Mount Carmel and a nearby parish, Immaculate Conception, were merged into one new parish to better utilize resources and named after St. Teresa of Calcutta to coincide with her Canonization on September 4, 2016.
On August 27, 2022, the Archdiocese of Newark announced that Our Lady of Mount Carmel would continue as an oratory that would serve the community of faithful with a newly appointed rector and a full schedule of weekday and weekend Mass celebrations.