In February 1864, he was promoted to colonel, to date from September 1863. He was commissioned as a brigadier general on May 20, 1864, following the Wilderness Campaign. The following day, he was assigned command of a brigade formed from the survivors of the Stonewall Brigade and the badly depleted brigades of John M. Jones and George H. Steuart. Terry led the consolidated unit in the fighting at Cold Harbor and the defense of Petersburg.