Lochgilphead stands at the head of a short loch called Loch Gilp which leads north west from Loch Fyne. Lochgilphead is one of those rare towns that have been built according to the architect's plans. It was first laid out as a planned town in 1790, soon after the completion of the road from Inveraray to Campbeltown. Since then the town has steadily grown in its stature due to several important developments.

During 1801, the Crinan Canal became functional providing a considerable short cut across the Kintyre peninsula. By 1830 a road was built linking Lochgilphead to Oban, and by 1831 a wooden pier was constructed thus linking Lochgilphead directly to Glasgow and other major cities. Sadly, the wooden pier is no longer any where to be seen.

Because of its central location, Lochgilphead soon acquired its most important role as administrative headquarters for Argyll which has now expanded to include the whole of Argyll and Bute - a vast area of western Scotland.