The town centre is located on a small bight, the binnensee (inland lake) from which the west of the town has been separated. Two headlands are located off the coast: Steinwarder and Graswarder, the latter one is a bird sanctuary.
A little fishing port and a marina with about 1000 moorings is located at the open part of the bight close to the town centre. Tourism is an important part of the economy of the town. Every summer the main attraction is a 10 day festival called 'Hafenfest Tage' (harbour festival) which attracts visitors from all over the country. The town just celebrated its 250 year anniversary and has kept the charm of the traditional German fishing town though some well designed amendments to the town centre have been made.
Panorama from the district Warteburg to Heiligenhafen (left), Graswarder and in the Fehmarnsund with the Fehmarnsund Bridge.