The city of McGregor is located along the U.S. Highway 84 at the intersection of the Texas and St. Louis Railway, Gulf, Colorado, and Santa Fe Railway. The city was first established in 1882. The town was named after Gregor Carmichael McGregor. McGregor facilitated the construction of this railroad by giving a right of way through his land. In 1882, the post office was moved to this place with Thomas H Baker as the postmaster. In the 1900s, the city blossomed as a shipping point and commercial center of McLennan County. The Bluebonnet Ordnance Plant was established in McGregor in 1942.
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