McGrath (2008 pop. est. 63) is located on Highway 65 in southern Aitkin County. It is one of the Arrowhead Region's southernmost communities and is in close proximity to the Twin Cities. Located 25 miles off of Interstate 35 in an area of quality timber, it is a nice location for wood products manufacturing. Tax-free, JOBZ sub-zone property is an added incentive.

The city is surrounded by public recreation land and is popular for its recreational trails, campgrounds, and canoeing on the Snake River.