Mayor Mohammad Exchan Limbona was killed after unidentified gunmen ambushed his vehicle late Thursday.
Limbona was with his wife, daughter and two security escorts when the suspects opened fire on his vehicle in Sitio Paitan, Barangay Dalipuga, according to Senior Superintendent Leony Roy Ga, chief of the Iligan City police.
The mayor, who was driving the sports utility vehicle, died at a hospital.
His wife and daughter escaped unscathed while his bodyguards were wounded.
Limbona's killing may have been politically motivated as the mayoral seat was hotly contested in the May elections, Ga said.
Investigators are also looking into other possible motives such as rido or clan feud.
Recovered from the crime scene were 17 empty shells, said Senior Inspector Leslie Segualan, who is investigating the case.