Mount Gretna is a borough in Lebanon County, Pennsylvania, United States. It is part of the Lebanon, PA Metropolitan Statistical Area. The population was 242 at the 2000 census. It is a popular place in the summer, for it has a nationally ranked juried art show, jazz and chamber music concerts, lectures, book reviews, and an annual tour of historic homes and cottages. The community also has a roller rink, lake, open-air playhouse, miniature golf course, several restaurants, playgrounds, and an award-winning ice cream parlor known as the Jigger Shop. The surrounding area, which includes seven distinct neighborhoods, has a year-round population estimated at 1,500 persons. Summertime population increases to about 2,500.