It is the second important city in the province. Its foundation goes back to 1805, when viceroy Sobremonte set up the fort San Rafael in the confluence of the Atuel and Diamante rivers. In 1810 the Primera Junta (First Council) established that it should be moved to the place known as 25 de Mayo where Swedish, Italian and French colonies where established. This last colony was the one that took the name San Rafael. This city has been characterized by its geography and production. This oasis is apt for the growing of corn, alfalfa, grapevine, olive, fruits (peach, pear, plum) and the breeding of cattle and sheep. Deriving of this production, there are industries that elaborate desiccated products in conserve:sweets, liquors, and varied products of good quality. It is also important to stand out the main wineries of the country that have taken seat in this city, and whose installments can, in some cases, be visited. The city posseses an intense movement and a modern urbanization. Its streets are wide, wooded and have gutters at its sides. This region is apt for carrying out activities related with nature: trekking, rafting, mountain byke, and varied excursions in contact with astounding landscapes are just some of the multiple possibilities that the city offers the tourist. The Atuel Canyon constitutes the main landscape attraction. Of an extraordinary geomorphology, it is a deep canyon originated by the effects of the erosion, with spectacular characteristics.   
The city posseses an active commercial centre, casino, and a varied lodging and gastronomic service infrastructure.