Standing under a frozen waterfall in Spearfish, South Dakota.

11 Best Small Towns in South Dakota for Outdoor Enthusiasts

South Dakota is famous for Mount Rushmore, but it's also home to diverse wildlife, stunning natural beauty, and a variety of recreational activities. Whether you enjoy hiking in the Badlands, fishing for trout in a mountain stream, or exploring underground caves, the small towns in South Dakota offer ample opportunities to experience the wonders of nature. These towns are some of the best places to explore the wilderness. So, pack your gear, put on your hiking boots, and venture out because South Dakota has many incredible places to explore.

Spearfish

Rock Climbing Spearfish Canyon in western South Dakota
Rock Climbing Spearfish Canyon in South Dakota.

Spearfish is a small community in western South Dakota, surrounded by the beauty of the Black Hills. It sits just ten miles from the Wyoming state line and offers plenty of elbow room for outdoor enthusiasts to experience the solace and serenity of the mountains. The town is an excellent spot for hiking or biking, with miles of mountain trails to explore. It also offers secluded locations for fly fishing in cold mountain streams, and rugged rock faces for climbers to conquer. With so many ways to explore the great outdoors, Spearfish is a must-visit destination for anyone seeking adventure.

The Lookout Mountain Trail is near central Spearfish and is a relatively easy walk through the woods. However, if you prefer a more challenging adventure, the Crow's Peak Trail is a 1,600-foot climb that leads to some of the most stunning vistas in the Black Hills. If you can, drive along the Spearfish Canyon Scenic Byway, which runs through a narrow gorge south of the town, offering ample parking spots to stop and admire the breathtaking views. You can even take a break and dip your toes into the crystal-clear, cold waters of Spearfish Creek.

While you are in town, there are many great dining options, but one of the best places to grab a bite is Killian's. They serve lovely food and have a craft beer selection that is as good as it gets, making it an excellent choice for lunch or dinner.

Custer

Families enjoy a summer day on Sylvan Lake, in Custer State Park
Families enjoy a summer day on Sylvan Lake, in Custer State Park. Image credit melissamn via Shutterstock

This unique little town is close to several major Black Hills attractions like Mt. Rushmore, Crazy Horse Memorial, and Custer State Park. Sylvan Lake is Custer State Park's most famous fishing hole (five lakes are in the Park), attracting trout fishermen throughout the year. Hikers will want to explore the Black Elk Peak Loop, leading to the state's highest point. If you enjoy rock climbing, check out the 1.6-mile hike to Cathedral Spires, a series of spire-like formations that seem to jut from the ground around you. This attraction is popular for hikers and climbers alike, but you'll want to arrive early because parking is a premium.

Jewel Cave National Monument is just 15 minutes away. It is one of the longest caves in the country, and visitors can enjoy guided tours hosted by the Park Rangers. Four cave experiences are offered, and the Scenic Tour is perfect for first-time visitors. The 80-minute tour takes visitors over 300 feet underground and provides many memorable moments for a real taste of cave exploration. The paths are well-marked and easy to navigate, making it a safe and enjoyable experience.

During your stay, make sure that you eat at Skogen Kitchen, a five-star gem serving fresh entrees. You must make a reservation if you want a table because this restaurant is just that good.

Wall

Black Hills Gold at Wall Drug Store in Wall South Dakota land of Mount Rushmore
Black Hills Gold at Wall Drug Store in Wall, South Dakota. Image credit Dennis MacDonald via Shutterstock

Wall sits just eight miles from Badlands National Park, serving as a gateway for tourists who want to discover the Park's rugged beauty. With numerous trails, canyons, and dramatic rock formations, this region is a breathtaking destination for hiking enthusiasts. Many trails start near the Ben Reifel Visitor's Center, including the Fossil Exhibit Trail, which features a boardwalk where children can explore fascinating fossil exhibits. If you prefer a more rugged exhibit, consider camping in the backcountry, which is a great way to stargaze, or if you get up early enough, capture stunning photos of a canyon sunrise.

One of the most popular attractions in this small town is Wall Drugs, which opened in 1931 as a haven for travelers. The Drug Store has expanded to nearly 76,000 square feet of souvenir shops, galleries, and restaurants. You will want to grab the fudge and a fresh donut or enjoy a small five-cent coffee. If the kids need a place to stretch their legs, explore the Backyard, where they can enjoy an arcade, view a T-Rex, or pan for gemstones or treasures.

Yankton

Yankton, South Dakota, a College Town in the Midwest on the Missouri River.
Overlooking downtown Yankton, South Dakota and the Missouri River.

This nifty little town sits in the southeast part of the state, right on the Missouri River. It is famous for its epic water activities, like boating on Lewis and Clark Lake or fishing near Gavin's Point Dam. If you are into camping, there are plenty of nice spots with cottonwood trees where you can pitch your tent or park your RV. The three campgrounds in the Lewis and Clark Recreational area are a great place to start, and they offer excellent access to the lake or public swimming areas.

The Auld-Brokaw Trail runs through the city and connects to the nearby recreational area. Hikers will want to cross over the Meridian Bridge, a double-decker pedestrian bridge over the Missouri River to Nebraska. The Meridian Trail System offers over 22 trails encompassing 40 miles of paved walkways, so there's plenty of river scenery to discover.

If you want a place to eat with a majestic view of the River, try Murdos Aten Resort. This restaurant is 4 miles away on the Nebraska side of the river in Crofton, but the food is excellent, and the service is even better.

Deadwood

Aerial view of Deadwood, South Dakota
Overlooking Deadwood, South Dakota.

This town in the Old West has a rich history of Gold Rush fever. It gained fame for attracting some of the most legendary gamblers and gunslingers when gold was discovered in the Black Hills in the 1870s. As thousands of fortune seekers flocked to the area, the town grew and became one of the most lawless towns in the Dakota Territory. Nowadays, the town is a gambling mecca with several casinos located in the historic buildings. However, there are still plenty of outdoor adventures to be had here.

The George S. Mickelson Trail runs through the town and is 109 miles to Edgemont. The trail features over 100 railroad bridges and traverses through four rock tunnels in the pristine forests of the Black Hills. Most of the trail is made of soft gravel, with short paved sections, but it is perfect for families wanting to bike, look for wildlife, or spend a day building memories. During the winter, the Terry Peak Ski Resort in nearby Lead offers families abundant skiing and snowboarding opportunities.

Try the Deadwood Legends Steakhouse at the Franklin Hotel for an upscale meal. Jacob's Brewhouse and Grocer has a unique collection of homebrews, and Mustang Sally's is another excellent place for a delicious burger.

Keystone

Main street Keystone, South Dakota filled with boutiques, gift shops, fine dining, and lodging
Main street Keystone, South Dakota.

Many tourists usually pass through the charming small town of Keystone on their way to Mount Rushmore. Although this iconic landmark is undoubtedly worth a visit, other fun outdoor activities exist in the area. For instance, the 1880s Train covers a 20-mile route to Hill City, offering a two-hour train ride that families can enjoy. It is an excellent way to experience the excitement of riding an Old West steam locomotive while listening to guides describing the many picturesque sights they encounter along the way.

Several excellent trails near Keystone are pretty popular. The Horsethief Loop Trail is a 5.3-mile out-and-back trail that meanders through dense forest, past crystal clear lakes, and granite peaks. For a shorter hike, hike the Old Baldy Mountain Trail for excellent glimpses of birds or local wildlife.

For a rustic meal, try the Powder House Lodge Restaurant, or for a superb pizza and a brew, Cruizzers is the best place in town.

Sturgis

Annual motorbike Rally, Sturgis, South Dakota.
Annual motorbike Rally, Sturgis, South Dakota. Image credit Photostravellers via Shutterstock

If you ride a motorcycle, chances are you already know about this community and its annual Motorcycle Rally that attracts tens of thousands of bikers. While the town gets crowded every summer during the Rally, there is plenty to do throughout the rest of the year. The Fort Meade Recreation Area is nearby, with over 6,700 acres of forest and grassland with trails for ATVs or hikers to explore.

The Bear Butte State Park is just six miles northeast of town and is a popular spot for hiking or fishing. The site is sacred to many Native American tribes, and it is not unusual to see ribbons or small pouches hanging from branches. These prayer mementos should be respected and left undisturbed, as they represent the sacred desires of countless other visitors.

If you want a unique museum experience, the Sturgis Motorcycle Museum and Hall of Fame have excellent displays of antique motorbikes. Try the Knuckle Saloon or nearby Bullwackers for an excellent burger or beer.

Aberdeen

Aerial view of Aberdeen, South Dakota in the winter.
Overlooking Aberdeen, South Dakota.

Aberdeen is known for being the home of L. Frank Baum, the author of the Wizard of Oz series. The famous writer owned a store and lived in the town but based his work on his time as a resident. Wylie Park, home of the famous Storybook Land and Land of Oz, is an excellent place for children, with pleasant walking paths and a fishing lake.

The Richmond Recreational Area is 12 miles northwest of the town and has a lovely campground, numerous trails, and lake swimming access. There are many fishing docks where you can cast a line and catch your dinner. If you are looking for a place to eat, Mavericks Steak and Cocktails is worth trying.

De Smet

Sunrise on the farm in de Smet, South Dakota.
Sunrise on as farm in De Smet, South Dakota.

This small town is in eastern South Dakota and is famous for being the hometown of Laura Ingalls Wilder, the renowned author of the Little House On The Prairie book series. Fans of books or television series can enjoy guided tours of historic homes to catch a glimpse of the author's life. The downtown area is a charming collection of shops and historical buildings. Additionally, the Depot Museum offers exciting exhibits and local memorabilia.

Lake Thompson, the state's largest natural lake, provides many opportunities for fishing, boating, and swimming. The recreational area is open year-round and offers plenty of camping sites, making it a perfect place to stay if you want to discover some of the best walleye and northern pike fishing spots anywhere.

For a nostalgic dining experience, grab a great breakfast at the Oxbow Restaurant, right off of US Hwy 14. Ward's Store and Bakery is another excellent place for a latte and homemade pastries. This one-of-a-kind venue sits in the converted Opera House downtown.

Vermillion

Aerial view of the town of Vermillion, South Dakota.
Overlooking the town of Vermillion, South Dakota.

Vermillion is a vibrant college town and is home to the University of South Dakota. Visitors will want to hike the Clay County Park Nature Trail for an easy 2.3-mile hike with views of local wildlife and scenic views of the Missouri River. The Spirit Mound Historic Trail is a shorter stroll, offering beautiful views of the prairie, and follows the same steps as Lewis and Clark took in 1804. For golfers, the Bluffs is an upscale championship course that is well-groomed and a pleasure to play.

Downtown Vermillion has several museums, shops, and galleries worth visiting. As a college town, many dedicated bike paths, walking trails, and pedestrian-friendly infrastructure exist. The National Music Museum has an exciting collection of musical instruments worth touring. For a great burger and a wide selection of craft brews, the Dakota Brick House is the place to try.

Hill City

The Main Street in Hill City, South Dakota.
Main Street in Hill City, South Dakota. Image credit Paul R. Jones via Shutterstock.com

Hill City is a picturesque town located in the Black Hills region, and it serves as a gateway to many of the state's famous attractions. The town boasts various hiking and biking trails that wind through dense old-growth forests, over trickling mountain streams, and past vibrant wildflower-filled meadows. The Willow Creek Trail is an excellent choice for families, with its easy 2.8-mile gentle ascent. The trail has plenty of shade and is generally not crowded, although you may encounter horseback riders sharing the path. The 1880 Wall is a popular rock climbing destination, accessible from either Hill City or nearby Keystone. Horsethief Lake, located just ten miles south of the town, is an excellent spot for anglers looking to catch rainbow trout.

Hill City is also a stop for the 1880's train that runs daily from Keystone. If you wander through the downtown area, there are many shops, boutiques, and restaurants to choose from. Try the Chute Rooster for a great chicken sandwich in a honky-tonk atmosphere. For a more formal dining experience, the Alpine Inn is an excellent choice for both lodging and dining. It is a historic Hill City landmark right on the corner of Elm and Main.

South Dakota's small towns have a rich natural heritage that offers numerous opportunities for outdoor adventure. You can hike along the trails in the Black Hills, ski down fresh powder slopes, or capture the majestic prairie sunset. Once you visit these stunning communities, they are likely to become your favorite places, calling you back time and again to experience the incredible natural treasures they offer.

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