Lunenburg is a semi-rural community located in northern Worcester County.  Three water bodies account for somewhat of a clustered approach to the Town's historical development.  Lake Whalom and Whalom Amusement Park delineate the Whalom District from the remainder of Lunenburg.  This District was developed as a housing base for many factory workers working in the mills and factories of Leominster and Fitchburg.  In many ways the characteristics of the Whalom District more closely reflect characteristics of these cities than of the rest of Lunenburg. 

The Hickory Hills area of Town, around Hickory Hills Lake, was developed as a private community comprised largely of vacation cottages.  The third body of water to be mentioned is Shirley Reservoir; a public water body also developed with mainly vacation cottages that have now been modified to year-round residences.  The remainder of Lunenburg which originally consisted largely of farms and orchards has slowly developed into large lot single family housing.  

Commercial and industrial development is permitted in several areas of town primarily along the two major arteries (Routes 2A and 13), and the Town's peripheries, due largely to the close proximity of Leominster's and Fitchburg's sewer and water systems.