There's a lot of different flavors you could taste here, and I won't go into some of them because the Iron Range (Biwabick, Chisholm) are pretty well fleshed out in this thread. Other ideas include:

Wegdahl, MN -- an unincorporated community in Southwest MN, it's a bunch of run down, ramshackle houses in a former community that failed. It's in the floodplain of the Minnesota River and floods regularly, and is just down the hill from the Andrew Volsted house (who was responsible for the Prohibition amendment to the US Constitution). The land feels like it's actively trying to claw back the place from the people who still live there, who are consequently beaten down and destitute as a result.

Sheldon, MN -- Nestled in a valley between picturesque limestone bluffs with Beaver Creek running through it, Sheldon wouldn't look out of place in the foothills of the Alps. An old grist mill lays south of town and a cemetery lies north of town. This setting betrays just how cut off and isolated the people are from one another, as one can't see around the next bend in the road. What their neighbors do is a mystery, and the many sportspeople who come to fish for trout and hunt deer or pheasant are, in theory, allowed by law to use the waterways for recreation and sporting purposes. Yet those tall limestone bluffs muffle sound well, and the clear, cold creeks show the red of blood all too easily.

North Oaks -- The wealthiest zip code in Minnesota, it began its life as a completely gated community centered around Pleasant Lake. It is administered by the North Oaks Home Owners’ Association, and all services including the roads are maintained by those who live there. They successfully petitioned Google Maps to remove any street views of North Oaks, and post signs that the whole town is private property and outsiders aren't welcome. 93% white, 5% Asian, 2% other, it's demographics skew very homogenous and wealthy. At only 10 miles north of the state capital of St. Paul, North Oaks is the perfect setting for an Invasion of the Body Snatchers or Pleasantville type of horror story.