I just moved one directory within a Git repository to a directory within another repository including its history. For example:

repositoryA/
.........../directoryToKeep
.........../otherDirectory
.........../someFile.ext

repositoryB/
.........../someStuff

The goal is to move directoryToKeep into repositoryB with its history, i.e., all commits that affect directory1. If instead, you want to create a repository just for the contents of directoryToKeep, just skip the last step of the preparation of the source repository.

If you have files tracked by git-lfs, please note the update at the bottom first.

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