The Monastery of St. Nicholas is situated at the foot of Plakenska Mountain and near the right bank of the Crna Reka, between the villages of Sloeštica, Babino and Žvan. Of the former Monastery complex, only the church dedicated St. Nicholas has been preserved to this day. It was built in several construction phases, through centuries. It was first built probably in the 5th or 6th century, and later in the 14th century. Today's Church was built by Dimitar Pepik from Kratovo in the 16th century. In the narthex, along with the signature of the painter Jovan dated in 1534-1535, the name of the founder Dimitar Pepić is also written.
Its a single nave edifice with a narthex (which has on the North and South side chapels), apse and a semicircular vault.
The Monastery of Sveti Nikola near Toplica is mentioned in both fragmentary notes on the back of the charter of the Serbian King Stefan Uroš IV Dušan for the Church of the Holy Mother of God Peribleptos in Ōhrid from 14th century (selo Toplica i manastirь sveti Nikolu ni desetkь vini i gumniština i popisaniju sigilь v mestè eksarštine; selo Tžupnica i manastirь Svety Nikola u ki desetkь vini igumenьština i popisaniju sigilь v město eksarštine). A tetraevangelion from the end of the 14th century and the beginning of 15th century probably comes from the scriptorium of the monastery. A colophone from the menaion for the March and April copied between 1535-1536, which is stored in the University Library in Belgrade, mentions the abbot Makarij and the monks of Sveti Nikola in the place called Toplica. An inscription in the form of a prayer on the icon of Jesus Christ the Savior attests the name of the donor Dimitar Pepiḱ and the date 1542/1543, when the inscription was made.