Lochranza is the northernmost of Arran's villages and is situated in the northwestern corner of the island. The village is set on the shore of Loch Ranza, a small sea loch. Ferries run from here to Claonaig on the mainland during the summer months. The village is flanked to the northeast by the landmark hill Torr Meadhonach. Lochranza is reputed to have the fewest hours of sunshine of any village in the United Kingdom, and is the most shaded village in the entire world according to world climate experts, since it lies in a north-facing glen on an island with a particularly high level of rainfall.

The area around Lochranza Castle is a favoured spot to watch red deer, as the village is home to a healthy red deer population, and on the northern shore grey seals can be seen all year-round. Otters and golden eagles can also be spotted in this area.

Lochranza was a former herring fishing port, today though the village is very much geared towards the tourist trade. Lochranza Castle situated on the shoreline is a fine ruin of a 16th-century L-plan castle.

The Arran Distillery was built in 1995 and produces the Arran Single Malt is situated in Lochranza, the distillery is one of the major industries of the island. The bar of the Lochranza Hotel, to the north of the distillery, has one of the largest collections of Scotch whisky available by the measure in the country: over 350 different Scotch whiskies are available.

Lochranza Golf Club, is a 9 hole, par 34 (2332 yard), public, parkland golf course established in 1898 and offers stunning views of the castle and surrounding area.