The town of Poway unveiled the memorial statue at Lake Poway Park during a ceremony. The 11-foot bronze statue displays Gwynn in a Padres' uniform and tipping his cap while holding daughter, Anisha.
Gwynn died in 2014 after a battle with salivary cancer, which he said was linked to his long-term use of chewing tobacco.
Gwynn played 20 seasons with the Padres from 1982-2001 and won eight National League batting titles. He was inducted into the Hall of Fame in 2007.
The 15-time All-Star was the baseball coach at San Diego State, his alma mater, at the time of his death.
"Tony didn't like a lot of ceremony and didn't like a lot of praise. He was a very humble person," Gwynn's agent, John Boggs, said at Tuesday's ceremony. "He would be very touched today and appreciative of this statue ceremony."
There also is a statue of Gwynn beyond the outfield at Petco Park, the home of the Padres.