The town is situated in the Bohemian Forest on the southeastern rim of the Šumava National Park, located on the northern shore of the Lipno Reservoir, south of the Boletice Military Training Area. Its picturesque setting, already perpetuated by the native poet Adalbert Stifter (1805-1868), makes it a popular destination for daytrippers. Beyond the Lipno reservoir, a densely forested area with several abandoned villages stretches up to the Vltava-Danube drainage divide (part of the main European Watershed) and the border with Austria at a distance of about 7 km (4 mi).