History of the City of Rio Rancho The Story of Rio Rancho, NM. The City of Rio Rancho is located in central New Mexico, adjacent to Albuquerque, New Mexico's principle city. The area began in 1962 as a land development project northwest of Albuquerque and was sponsored by the AMREP Corporation. Water and sewer lines, as well as streets, were installed and home construction began. By the late 1970's the area had grown to a community of about 10,000. A vote in September of 1980 authorized the formation of the City of Rio Rancho. Explosive employment grew from 94 to 6,285 jobs in 1990. Population and housing stock tripled between 1980 and 1990. In 1989 Rio Rancho was recognized by American Demographics magazine as the fastest growing city in the United States. The 1990 census shows that over the period from 1980 to 1990, Rio Rancho had grown 224% and became the 6th largest city in New Mexico with a population of 32,505 living in an area of approximately 40 square miles. Rio Rancho is fast growing with a population base of approximately 75,000. The average age in Rio Rancho is in the mid-thirties with an average income between $28,000 and $40,000. The City of Rio Rancho, when it becomes fully developed, will be one square mile LARGER than the city of Albuquerque! Rio Rancho is currently the 3rd largest city in New Mexico, and one of the fastest growing cities in the nation. Thanks for taking the time to read our story! For More Information on the City of Rio Rancho go to: www.ci.rio-rancho.nm.us.