This 3.6 square mile community has an average elevation of 1,065 feet. Its motto, inscribed on the City flag is "The Blue Mountain City", and is named for the Blue Lupine flower that grows on Blue Mountain in the spring.

The 2000 Census reveals that Grand Terrace has the highest median income in the Inland Empire, $61,068. According to an article in The Press Enterprise dated May 31, 2002, “Its clean streets, quiet neighborhoods and no violent crime are big draws for its middle-income population.”