Peter Carmichael was born on the 2nd March 1809, in Fife. After training under the respected engineer Peter Fairburn, Carmichael became a prominent figure in the Dundee flax industry. His long-standing association and partnership in the Baxter Brothers company was the basis for a long and distinguished career. Carmichael has been credited for the invention of several machines which helped to further the productivity and capacity of the company. In his later years, Carmichael purchased the Arthurstone estate, symbolising the opportunity for prosperity in 19th century manufacturing.

After his death in 1891, Carmichael was recognised as a an important figure in the industrialisation of the textile industry in Dundee. His philanthropic efforts in later life have also been memorialised by the community.