The city of Minas Tirith (or Minas Anor as it was originally known) dated back to the late Second Age, but the street of Rath Celerdain may not have existed during the city's earlier centuries. King Ostoher rebuilt Minas Anor in the year III 420 (that is, more than five hundred years after its founding). So, while Rath Celerdain may have dated back into the Second Age, it is at least as likely that it came into being as part of Ondoher's rebuilding work some centuries later.

Rath was the usual name used for main streets within Minas Tirith (probably originating as a word meaning 'climb', because the city was built on a hill, and hence most of its roads were on an incline). Celerdain is the plural of calardan, 'lampwright', where a calar was the Elvish name for a portable lamp or lantern. Hence the fully translated name was equivalent to 'Lampwrights' Street'.

We have relatively little detail about the location of Rath Celerdain. All we're told of its location is that it was in the lowest circle of the city, and that it ran towards the Great Gate. Immediately behind the City Gate was a square, and so the street would apparently have opened into this square, or at least run close to it. Note that the depiction here of Rath Celerdain leading to the gate from the south is arbitrary; given the limited descriptions we have, it is equally likely to have approached the City Gate from the north.